Recent Livestock Analysis
Market Commentary: Futures Scream Higher; Cash Markets Also on Fire
The CBOT continues to scream higher with Chinese buying of U.S. corn and soybeans underpinning prices. Managed money funds have been aggressive buyers as technical analysis has shown few, if any, reasons to be bearish or sell a long position. The rally is not isolated to the futures market eith...
Summary of Futures
Dec 20 Corn closed at $3.785/bushel, up $0.0325 from yesterday's close. Dec 20 Wheat closed at $5.75/bushel, up $0.1875 from yesterday's close. Nov 20 Soybeans closed at $10.435/bushel, up $0.15 from yesterday's close. Dec 20 Soymeal closed at $342.1/short ton, up $6.8 from ye...
CFTC COT Report Analysis
The attached PDF offers graphical depiction and seasonal analysis of managed money and commercial traders' net position in key agricultural commodity markets. The data is, of course, taken from the CFTC's weekly Commitment of Traders report, using the futures only data. WPI recently completed a...
Market Commentary: Gambling on China
The market has been on a tear and it is all based on current demand from China and speculation that it will continue. Current demand prompts news articles about U.S. infrastructure capacity to service it, prospective future demand has funds lined up to go longer. The fundamentals leave us quest...
Livestock Round Up: Dairy Market Still Searching for Balance
The final 2019 dairy utilization data from USDA released this week shows that per capita conumption of milk is at an historic high of 650 pounds. Annual dairy consumption increased by 12.4 percent from 2017 to 2109, while fluid milk, the highest priced use of milk dropped. The annual increase...
Summary of Futures
Dec 20 Corn closed at $3.7525/bushel, up $0.035 from yesterday's close. Dec 20 Wheat closed at $5.5625/bushel, up $0.1425 from yesterday's close. Nov 20 Soybeans closed at $10.285/bushel, up $0.1725 from yesterday's close. Dec 20 Soymeal closed at $335.3/short ton, up $9.6 fro...
Market Commentary: CBOT Rallies on Chinese Buying (again); Historic Soybean Spreads
The CBOT drifted lower overnight with corn and soybeans testing technical support. That weakness was short-lived in soybeans, however, as rumors of Chinese purchases helped the market firm heading into the morning’s opening bell. The day session corn, soybeans and wheat jump higher at the...
Summary of Futures
Dec 20 Corn closed at $3.7175/bushel, up $0.0575 from yesterday's close. Dec 20 Wheat closed at $5.42/bushel, up $0.0375 from yesterday's close. Nov 20 Soybeans closed at $10.1125/bushel, up $0.1975 from yesterday's close. Dec 20 Soymeal closed at $325.7/short ton, up $6.5 fro...
China In-Country Analysis
Livestock China Furthers Stimulates Live Hog Production and Risks Grow China’s Ministry of Agriculture and Rural Affairs (MARA) recently announced an increase in the central government’s direct subsidy to major live hog production counties. The new policy will increase the annual am...
Market Commentary: CBOT Turns Lower with Harvest Looming
Now halfway through the month of September, the CBOT is looking like the rally is ending, or at least on pause for a while. Row crops and wheat were lower as the focus turns to the large U.S. harvest and overbought technical conditions. The U.S. corn harvest is starting and early yield results...
Summary of Futures
Dec 20 Corn closed at $3.66/bushel, down $0.035 from yesterday's close. Dec 20 Wheat closed at $5.3825/bushel, down $0.075 from yesterday's close. Nov 20 Soybeans closed at $9.915/bushel, down $0.08 from yesterday's close. Dec 20 Soymeal closed at $319.2/short ton, down $2.8 f...
Market Commentary: CBOT Rallies Again; WPI 2020 S&D; Beef Turning Bullish
The CBOT was mostly higher to start the week with soybeans and soyoil extending their rallies. Corn and wheat were firmer but posted a relatively lackluster day of trading. Soyoil reversed course and fell lower under pressure from long profit taking and bull soyoil/soymeal spreads. Cattle futur...
Market Commentary: Futures Scream Higher; Cash Markets Also on Fire
The CBOT continues to scream higher with Chinese buying of U.S. corn and soybeans underpinning prices. Managed money funds have been aggressive buyers as technical analysis has shown few, if any, reasons to be bearish or sell a long position. The rally is not isolated to the futures market eith...
Summary of Futures
Dec 20 Corn closed at $3.785/bushel, up $0.0325 from yesterday's close. Dec 20 Wheat closed at $5.75/bushel, up $0.1875 from yesterday's close. Nov 20 Soybeans closed at $10.435/bushel, up $0.15 from yesterday's close. Dec 20 Soymeal closed at $342.1/short ton, up $6.8 from ye...
CFTC COT Report Analysis
The attached PDF offers graphical depiction and seasonal analysis of managed money and commercial traders' net position in key agricultural commodity markets. The data is, of course, taken from the CFTC's weekly Commitment of Traders report, using the futures only data. WPI recently completed a...
Market Commentary: Gambling on China
The market has been on a tear and it is all based on current demand from China and speculation that it will continue. Current demand prompts news articles about U.S. infrastructure capacity to service it, prospective future demand has funds lined up to go longer. The fundamentals leave us quest...
Livestock Round Up: Dairy Market Still Searching for Balance
The final 2019 dairy utilization data from USDA released this week shows that per capita conumption of milk is at an historic high of 650 pounds. Annual dairy consumption increased by 12.4 percent from 2017 to 2109, while fluid milk, the highest priced use of milk dropped. The annual increase...
Summary of Futures
Dec 20 Corn closed at $3.7525/bushel, up $0.035 from yesterday's close. Dec 20 Wheat closed at $5.5625/bushel, up $0.1425 from yesterday's close. Nov 20 Soybeans closed at $10.285/bushel, up $0.1725 from yesterday's close. Dec 20 Soymeal closed at $335.3/short ton, up $9.6 fro...
Market Commentary: CBOT Rallies on Chinese Buying (again); Historic Soybean Spreads
The CBOT drifted lower overnight with corn and soybeans testing technical support. That weakness was short-lived in soybeans, however, as rumors of Chinese purchases helped the market firm heading into the morning’s opening bell. The day session corn, soybeans and wheat jump higher at the...
Summary of Futures
Dec 20 Corn closed at $3.7175/bushel, up $0.0575 from yesterday's close. Dec 20 Wheat closed at $5.42/bushel, up $0.0375 from yesterday's close. Nov 20 Soybeans closed at $10.1125/bushel, up $0.1975 from yesterday's close. Dec 20 Soymeal closed at $325.7/short ton, up $6.5 fro...
China In-Country Analysis
Livestock China Furthers Stimulates Live Hog Production and Risks Grow China’s Ministry of Agriculture and Rural Affairs (MARA) recently announced an increase in the central government’s direct subsidy to major live hog production counties. The new policy will increase the annual am...
Market Commentary: CBOT Turns Lower with Harvest Looming
Now halfway through the month of September, the CBOT is looking like the rally is ending, or at least on pause for a while. Row crops and wheat were lower as the focus turns to the large U.S. harvest and overbought technical conditions. The U.S. corn harvest is starting and early yield results...
Summary of Futures
Dec 20 Corn closed at $3.66/bushel, down $0.035 from yesterday's close. Dec 20 Wheat closed at $5.3825/bushel, down $0.075 from yesterday's close. Nov 20 Soybeans closed at $9.915/bushel, down $0.08 from yesterday's close. Dec 20 Soymeal closed at $319.2/short ton, down $2.8 f...
Market Commentary: CBOT Rallies Again; WPI 2020 S&D; Beef Turning Bullish
The CBOT was mostly higher to start the week with soybeans and soyoil extending their rallies. Corn and wheat were firmer but posted a relatively lackluster day of trading. Soyoil reversed course and fell lower under pressure from long profit taking and bull soyoil/soymeal spreads. Cattle futur...