Bears made presence felt in the ag markets Thursday afternoon

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

Corn futures dipped on China talk Thursday. Corn futures followed soybeans higher Wednesday night and seemed likely to keep rising after the weekly Export Sales report stated the new-crop result far above expectations. However, rumors that China will insist that U.S. DDGs shipped to that country be certified free of an unapproved GMO trait apparently undercut the market. September corn settled 1.0 cent lower at $3.615/bushel late Thursday, while December sagged 1.25 cents to $3.695.

Soy prices set back from early highs. Forecasts for Corn Belt dryness in late July and early August sparked a follow-through rally in the CBOT soy complex overnight. Moreover, the results of the weekly Export Sales report looked generally bullish for bean and product futures. Nevertheless, Chicago prices declined from their early highs. The reason for the drop was not obvious, which may bode ill for short-term prospects. August soybean futures advanced 6.5 cents to $12.075/bushel as Thursday’s pit session ended, while November futures climbed 8.25 cents to $10.8475. August soyoil moved up 0.04 cents to 36.24 cents/pound and August soymeal gained $3.8 to $395.3/ton.

The wheat markets turned lower as well. Wheat futures also followed soybeans upward last night, but subsequently turned downward. The Export Sales data looked neutral. Today’s eventual decline may partially have reflected news that scouts are finding strong productive potential while touring spring wheat across the northern Plains, as well as late soy slippage. September CBOT wheat slipped 2.0 cents to $5.5875/bushel at its Thursday settlement, while September KC wheat slumped 3.0 cents to $6.205/bushel, and September MWE wheat moved 1.25 cents lower to $6.1975.

Cattle futures proved quite volatile Thursday. News that western Plains cattle were trading at record highs in the $160-$162/cwt area sent CME futures soaring early this morning. However, bulls proved unable to sustain the advance, thereby triggering a technical drop that put the complex lower at midday. Prices later recovered, but today’s CME action suggests a major top may be looming. August live cattle settled up 0.50 cents at 156.55 cents/pound Thursday afternoon, while December rose 0.05 cents to 157.77. Meanwhile, August feeder futures inched up 0.07 cents to 217.32 cents/pound, but October feeders dropped 0.55 to 217.62.

Hog futures remained under pressure. Wednesday’s hog breakdown had bearish technical implications, so late-day news of sizeable cash and wholesale losses triggered fresh CME selling overnight and again today. The August future firmed, but its ability to sustain the bounce is debatable. August hog futures ended Thursday having dived 1.37 cents to 123.20 cents/pound, while December plunged 2.87 cents to 98.62.

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

Demco 1400 Grain Cart

Demco offers a 1400 bushel grain cart to provide unmatched efficiency and operator convenience. In addition to the large 1400 ... Read More

View all Products in this segment

View All Buyers Guides

Feedback Form
Feedback Form