|Hogs: Afternoon Comments (Tuesday, October 06, 2015 20:01:57)
Lean hogs posted a positive day along with most other ag commodities, helped in part by weaker dollar. Hog slaughter so far this week is at 868,000 head, compared to 854,000 head last week and 855,000 head this time last year. Wholesale pork prices were also up 1.4 cents to 87.31 cents/pound. Packers have have met their needs for this week’s production and grocers are looking beyond October National pork month to increase beef features, llikely leading to a slowing of pork demand as supplies of pork also rise toward the end of the year. Cash hogs also firmed as the lean hog index climbed .44% to 73.38. December hog futures gained 2.27 cents to 66.72 cents/pound Tuesday, while April hogs climbed 0.62 to 73.35.
|Soybeans: Afternoon Comments (Tuesday, October 06, 2015 20:00:59)
A surging crop condition rating and talk of higher than expected yields weren’t enough to keep the soy complex lower Tuesday. The soybean good to excellent rating jumped to 64% from 62% last week and compared to the 73% last year. Soybean harvest came in at 42% complete, compared to the 32% five-year average and 21% last year. While the Dollar index was lower Tuesday, it may be more notable that the USD has fallen steeply against the BRL since the USD/BRL peaked at 4.248 on Sep 24. Since then, the dollar has lost 9.4% against the Brazilian real, boding well for U.S. exports. Export inspections shattered expectations Monday at 1.123 million tonnes, compared to the estimate of 450,000-600,000 tonnes. November soybeans moved 3.75 cents higher to $8.88/bushel early Tuesday, while December soyoil lost 0.05 cents to 28.71 cents/pound and December meal slid $.2 to $303.6/ton.
|Corn: Afternoon Comments (Tuesday, October 06, 2015 20:00:26)
Corn futures firmed Tuesday, closing higher for the fourth straight session and reaching two-month highs despite starting the day weaker on steady crop condition ratings. Fund consolidation ahead what many feel may be a production revision lower by the USDA Friday supported the market. Higher equities were also supportive with the Dow up .31% and the dollar index down .64% to 95.49. The corn condition rating came in at 68%, steady from last week, marking the sixth week in a row at the value. Corn harvest was reported at 27% complete, compared to 18% last week and the 32% five-year average. Corn export inspections disappointed at 470,000 tonnes, compared to the expectation of 750,000-900,000. December corn futures edged lower 0.25 cents to $3.9325/bushel early Tuesday, while March lost 0.25 cents to $4.035.
|Wheat: Afternoon Comments (Tuesday, October 06, 2015 20:01:10)
Slower than expected harvest progress and concerns of dryness in the Black Sea region and Australia helped wheat futures rally Tuesday. Winter wheat planting was reported at 49% versus 31% last week, 54% last year, and the five-year average of 51%. Export inspections for wheat were reported Monday at 557,000 million tonnes, compared to the expectation of 450,000-650,000 tonnes. A weaker dollar and positioning ahead of the WASDE also supported wheat. December CBOT wheat futures were 10.75 cents higher at $5.2625/bushel Tuesday, while Dec KC wheat gained 13.75 cents to $5.1575, and December MWE advanced 10 cents to $5.4075.
|Cotton: Afternoon Comments (Tuesday, October 06, 2015 20:02:09)
Cotton futures continued to strengthen Tuesday, rising for the second day, powered by a two point drop in the cotton good-to-excellent condition rating and a weaker dollar. Last Thursday, it was reported that the International Cotton Advisory Council had boosted its forecast of 2015/16 global cotton stocks by 200,000 tonnes to 20.62 million, adding to the overarching bearish supply outlook for cotton. ICE cotton fell last week due in part to Hurricane Joaquin moving away from the East Coast, easing fears that the rains associated with the storm could harm yields and quality in cotton-producing states. December cotton futures gained .13 cents to 62.08 cents/pound Tuesday, while May cotton climbed 0.11 cents to 62.36.