Ag Market Commentary

Corn is back up for a Turnaround Tuesday, gaining as much as 4 1/2 in nearby contracts. The USDA announced a private export sale of 191,000 MT of corn to an unknown destination with a 19/20 MY delivery. Corn basis was -0.1478 this morning, bringing the monthly average basis to -0.1501 so far. Last year the basis was -.3529. The propane shortage for grain drying has led to 8 state governors declaring a state of emergency, they being: IA, IL, IN, MN, NE, ND, SD, and WI. The USDA’s weekly crop progress report showed that corn harvest was 76% completed. Export inspections for the week ending 11/15 were up to 637,397 MT. The MYTD inspections were 4.980 MMT. The Buenos Aires Grain Exchange reported Argentinean corn planting is 44.3% complete, as of 11/13.

DEC 19 Corn is at $3.71 1/2, up 3 3/4 cents,

MAR 19 Corn is at $3.81 3/4, up 4 1/2 cents,

MAY 20 Corn is at $3.87, up 4 cents

JUL 20 Corn is at $3.92 3/4, up 4 cents

---provided by Brugler Marketing & Management

Soybean futures are trying to mitigate some of yesterday’s losses with nearby futures gaining 3 to 3 1/4 cents at midday. Soybean meal is up $1.70/ton, and soybean oil shows 31 point gains for midday. Soybean basis is -0.6265, bringing the monthly average to -0.6638 so far, the trend is 13 consecutive days of tightening dating back to the start of the month when the basis was -0.7292. last year the basis for 11/19 was -0.8881, and the Nov average up till then had been -0.9827. Bean harvest was 91% complete in USDA’s weekly Crop Progress report.

JAN 19 Soybeans are at $9.13 1/2, up 3 1/4 cents,

MAR 19 Soybeans are at $9.26 1/4, up 3 1/4 cents,

MAY 20 Soybeans are at $9.38 1/4, up 3 1/4 cents,

JUL 20 Soybeans are at $9.48 3/4, up 3 cents,

DEC 19 Soybean Meal is at $302.90, up $1.70,

DEC 19 Soybean Oil is at $30.95, up $0.31

--- provided by Brugler Marketing & Management

Wheat Gaining Again

Tuesday wheat futures are back on the rise, with Kansas City HRW futures leading the way. Chicago wheat futures are 4 to 6 cents higher at midday, KC wheat is making gains by as much as 8 cents in nearby contracts. MPLS HRS is fractionallay mixed showing 1/4 cent losses to 3/4 cent gains at midday. Japan’s lower house has passed the trade deal signed by President Trump and Prime Minister Shinzo Abe on October 7th, and should cut tariffs on wheat, beef, pork, among other US ag goods by 7 billion U$D. Japan’s upper house has yet to sign off, but is expected to before December 9th. Japan has tendered for 119,998 MT of wheat. US winter wheat planting was 95% completed, with 83% emerged as of Sunday. Conditions from the report showed a score of 345 on the Brugler500 index for winter wheat.

DEC 19 CBOT Wheat is at $5.13, up 5 3/4 cents,

DEC 19 KCBT Wheat is at $4.27, up 8 1/2 cents,

DEC 19 MGEX Wheat is at $5.04, up 3/4 cent

-- provided by Brugler Marketing & Management

Live cattle futures are down so far this Tuesday, posting midday losses of 35 to 77 cents. Feeder cattle futures are mixed with the soon to expire Nov contract showing a 2 cent gain., Jan and Mar contracts are lower by 60 to 80 cents. The 11/15 CME Feeder Cattle index was lower by 43 cents to 146.69. Wholesale boxed beef prices were higher this morning, and widened the Chc/Sel spread to $24.25. Choice boxes were up by $0.83, to $239.95. Select boxes also rose, up by 11 cents to $215.70. The Federal Cattle Exchange online auction tomorrow will feature 1398 head, 63% NE, 28% KS. The Trade deal with Japan has been Signed by the lower house of the Japanese parliament, the upper house is expected to also sign off on the deal to ratify it into law by December 9th. The trade deal with the country is set to reduce tariffs on beef, pork,wheat and wine to levels similar to those given TPP signatories.

DEC 19 Cattle are at $118.300, down $0.400,

FEB 19 Cattle are at $124.750, down $0.350,

APR 20 Cattle are at $125.625, down $0.775,

NOV 19 Feeder Cattle are at $146.400, up $0.025

JAN 19 Feeder Cattle are at $143.675, down $0.800

MAR 19 Feeder Cattle are at $144.125, down $0.600

--provided by Brugler Marketing & Management

Lean hog futures continue to drop, down by as much as $1.45 to follow yesterday’s triple digit losses. The cash market isn’t reading the same memos! The 11/15 CME Lean Hog Index was lower by $0.27, at $59.24. USDA’s pork carcass cutout value was up by 85 cents this morning, to $89.99. Most of the primal cuts were also higher, save for picnic and rib down 40 cents and $1.31 respectively. USDA’s national average base hog price gained 9 cents on 11/19, up to $42.23. The USDA estimated FI hog slaughter to be 493,000 head to start the week, near the daily slaughter record, from October 23rd, which was 493,189 head.

DEC 19 Hogs are at $62.375, down $0.375,

FEB 19 Hogs are at $68.800, down $1.425

APR 20 Hogs are at $74.900, down $1.450

--provided by Brugler Marketing & Management

Cotton futures are lower again on Tuesday, with nearby futures showing losses of 43 to 49 points at midday. Cargill Cotton Headquarters is moving deeper into Memphis TN according to a press release. The headquarters office was previously in the Memphis suburb of Cordova. The USDA Weekly Crop Progress Report stated that cotton harvest is 68% complete. The Cotlook A Index was boosted on 11/18 to 75.50 cents/lb, up 60 points. The AWP for cotton will be 57.06 cents/lb through Thursday.

DEC 19 Cotton is at 63.72, down 49 points,

MAR 19 Cotton is at 65.54, down 43 points

MAY 20 Cotton is at 66.8, down 44 points

JUL 20 Cotton is at 67.87, down 45 points

--provided by Brugler Marketing & Management

Market Commentary provided by:

Brugler Marketing & Management LLC
1908 N. 203rd St.Omaha, NE 68022
Phone: 402-697-3623
Fax: 402-289-2353

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