AgriCharts Market Commentary

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Corn Market Commentary

Corn futures are fractionally lower this morning. They ended Friday steady to 2 3/4 cents lower. Nearby Dec was down a nickel on the week. Friday morning’s Export Sales report showed net 18/19 sales on the high side of trade expectations at 892,529 MT. That lagged the same week last year by 6% but was 24.24% larger than the preceding week. Shipments were reported at 1.113 MMT in the week on 11/9, well above last year. Export sales commitments year to date are 121 million bushels larger than last year. Weekly CFTC data showed spec funds backing off their net long position in corn futures and options by 8,648 contracts as of Tuesday to a net position of 17,981 contracts. Traders are expecting USDA to show US corn harvesting progress still lagging the 5 year average pace, but this isn’t a market factor because so many bushels are already in the pipeline.

--provided by Brugler Marketing & Management

Soybeans Market Commentary

Soybean futures are currently 6 to 6 1/2 cents lower after ending Friday with 2 to 3 1/2 cent gains. Soy meal led the way as Dec was up $5.50/ton, with soy oil down 32 points. The delayed weekly Export Sales report indicated that 470,362 MT of soybeans were sold during the week of 11/8, on the low side of estimates. Shipments in that week totaled 1.358 MMT. Export sales commitments for the current year are 380 million bushels behind last year. Soy meal sales exceeded the rage of estimates at 432,352 MT. The Commitment of Traders report showed spec traders adding 9,947 contracts to their net short position at -55,025 contracts on 11/13. AgRural estimates that the Brazil soybean crop is 82% planted, well above the 5-year average of 67%.

--provided by Brugler Marketing & Management

Wheat Market Commentary

Wheat futures are trading 3 to 5 cents lower in the Chicago and KC contracts this morning. Minneapolis is also lower, but only by 1 to 1 1/2 cents. They saw gains of 2 to 3 cents in the KC contracts on Friday, with the CBT higher in the front months and MPLS mostly 2 to 3 1/2 cents lower. CBT was the only exchange higher on the week, widening the CBT-KC Dec spread to 24 cents. All wheat export sales in the week ending 11/8 totaled 438,256 MT, on the lower side of expectations. That was down 33.7% from the week prior and 10.4% lower than the same week in 2017. Exports totaled 263,003 MT for that week. The weekly Commitment of Traders report indicated the managed money net short position in CBT wheat futures and options was trimmed by 14,459 contracts as of Tuesday to -26,684. Spec traders went the other way in KC wheat futures and options, flipping their net position to short -1,271 contracts, a move of -12,414 contracts.

--provided by Brugler Marketing & Management

Cattle Market Commentary

Live cattle futures were mixed on Friday, with front months higher and deferred contracts lower. Feeder cattle futures were down 15 cents to $1.325, with Jan up 1.89% on the week. The CME feeder cattle index was down $1.10 on November 15 at $147.83. Wholesale boxed beef prices were lower on Friday afternoon. Choice boxes were down 64 cents at $212.91, with the Select cutout value a penny lower at $197.57. USDA estimated weekly FI cattle slaughter @ 641,000 head. That is 1,000 above the previous week and even with the same week last year. Cash cattle trade wound up around $114 in most regions on Friday, with a few dressed sales of $178 reported in NE. Trade surveys suggest the Cattle on Feed report (Wednesday) will show 4.4% more cattle on feed than last November, with October placements fractionally below year ago. The large spec funds in live cattle futures and options trimmed 8,707 contracts from their CFTC net long position of 54,421 contracts as of Tuesday. In feeder cattle futures and options, they held the largest recorded net short position on record on 11/13 at -4,823 contracts.

--provided by Brugler Marketing & Management

Lean Hogs Market Commentary

Lean Hog futures posted limit gains in the front months on Friday, with Dec up 7.66% on the week. The CME Lean Hog Index was down another 61 cents from the previous day @ $59.86 on November 14. The USDA pork carcass cutout value was down 49 cents on Friday afternoon at $68.18. The national base cash hog carcass value was 30 cents higher on Friday afternoon at a weighted average of $51.65. USDA’s weekly FI hog slaughter was estimated at a record 2.626 million head. That was 37,000 larger than a week prior and also well above the same week in 2017. Weekly pork exports totaled a marketing year (MY) high of 26,723 metric tonnes. CFTC showed money managers trimming their net long position in lean hog futures and options by 1,467 contracts to 28,048 contracts as of 11/13.

--provided by Brugler Marketing & Management

Cotton Market Commentary

Cotton futures are 1 to 19 points higher than they went home on Friday. The December contract was down 2.52% last week. US upland cotton export sales for 2018/19 totaled 67,593 RB for the week of Nov 8. USDA indicated that China cancelled a net 6,970 RB. Sales for 2019/20 upland cotton totaled 45,945 RB, with China booking 22,000 RB of that. Shipments of upland cotton in that week totaled 112,973 RB. The Commitment of Traders report showed spec traders in cotton futures and options cutting 3,363 contracts from their net long position last week. That put it at 40,985 contracts and made it the smallest net long position for that reporting group since August 2017. The Cotlook A index was up 75 points from the previous day at 86.30 cents/lb on Nov 15. The weekly USDA AWP is 68.48 cents/lb, effective through Thursday.

--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