Ag markets diverged significantly going into the weekend

decrease font size  Resize text   increase font size       Printer-friendly version of this article Printer-friendly version of this article

Corn futures turned lower Friday. Ideas that the U.S. harvest is ending and talk of improving export demand seem to be supporting corn futures. The result of the weekly Export Sales report also seemed supportive. However, weakness spilling over from big soybean losses and news that the EPA had formally proposed cutting the 2014 ethanol mandate dragged prices lower into the close. December corn futures ended the week 4.5 cents lower at $4.22/bushel, while May declined 6.5 to $4.385.

A forecast acreage increase sent soybean prices tumbling. Although CBOT traders were encouraged by talk of improving demand from China, recent rainfall over Brazil and Argentina boosted production prospects in those countries, which could weigh heavily upon prices next year. A forecast of increased 2014 US soybean plantings from a respected industry analysis firm added to the downward pressure. January soybean futures dove 31.75 cents to $12.6575/bushel at Friday’s close, while December soyoil sank 0.50 cents to 40.47 cents/pound, and December soymeal plunged $14.1 to $410.5/ton.

The wheat markets followed corn and beans lower Friday. Although word of improving international demand at current prices is encouraging wheat market bulls, they proved unable to overcome selling spilling over from the corn and soy complexes. When combined with the low sales total on the weekly Export Sales report, it wasn’t terribly surprising to see wheat futures decline modestly. December CBOT wheat futures slipped 0.25 cent to $6.445/bushel in late Friday trading, while December KCBT wheat futures slumped 4.75 cents to $6.9825, while December MWE futures slid 3.25 to $6.9675.

Cash strength boosted cattle futures Friday afternoon. Wholesale beef prices have moved inconsistently this week, but cattle futures remained generally firm as traders anticipated cash gains before the weekend. Those expectations were met around noon Friday (with trading around $132/cwt), which very likely boosted futures somewhat into the close. December cattle futures settled 0.42 cents higher at 133.40 cents/pound in late Friday trading, while April futures rose 0.07 to 135.02. Meanwhile, January feeder cattle ran up 0.62 cents to 165.82 cents/pound, and March feeders lifted 0.55 cents to 165.45.

Tight hog supplies seemed to support hog futures. Cash hog and wholesale pork quotes declined at midsession Friday, but that seemingly did little to deter CME bulls. Today’s rise probably reflected industry optimism. That probably reflected talk that this week’s slaughter total would once again fall below the comparable year-ago rate, thereby implying persistently tight supplies. December hog futures gained 0.30 cents to 85.90 cents/pound at their Friday close, while April added 0.35 to 92.45.

Buyers Guide

Doyle Equipment Manufacturing Co.
Doyle Equipment Manufacturing prides themselves as being “The King of the Rotary’s” with their Direct Drive Rotary Blend Systems. With numerous setup possibilities and sizes, ranging from a  more...
A.J. Sackett Sons & Company
Sackett Blend Towers feature the H.I.M, High Intensity Mixer, the next generation of blending and coating technology which supports Precision Fertilizer Blending®. Its unique design allows  more...
R&R Manufacturing Inc.
The R&R Minuteman Blend System is the original proven performer. Fast, precise blending with a compact foot print. Significantly lower horsepower requirement. Low inload height with large  more...
Junge Control Inc.
Junge Control Inc. creates state-of-the-art product blending and measuring solutions that allow you to totally maximize operating efficiency with amazing accuracy and repeatability, superior  more...
Yargus Manufacturing
The flagship blending system for the Layco product line is the fully automated Layco DW System™. The advanced technology of the Layco DW (Declining Weight) system results in a blending  more...
Yargus Manufacturing
The LAYCOTE™ Automated Coating System provides a new level of coating accuracy for a stand-alone coating system or for coating (impregnating) in an automated blending system. The unique  more...
John Deere
The DN345 Drawn Dry Spreader can carry more than 12 tons of fertilizer and 17.5 tons of lime. Designed to operate at field speeds up to 20 MPH with full loads and the G4 spreader uniformly  more...
Force Unlimited
The Pro-Force is a multi-purpose spreader with a wider apron and steeper sides. Our Pro-Force has the most aggressive 30” spinner on the market, and is capable of spreading higher rates of  more...
BBI Spreaders
MagnaSpread 2 & MagnaSpread 3 — With BBI’s patented multi-bin technology, these spreaders operate multiple hoppers guided by independent, variable-rate technology. These models are built on  more...

Comments (0) Leave a comment 

e-Mail (required)


characters left

Blend and Bulk Tower Systems

Waconia Towers provide speed, efficiency and reliability that only gravity-fed systems can offer. Towers are available with up to 300 ... Read More

View all Products in this segment

View All Buyers Guides

Feedback Form
Feedback Form