Closing Grain & Livestock Futures Prices
May corn closed at $4.88 and 1/2, down 6 and 1/4 cents
May soybeans closed at $14.98 and 3/4, down 15 and 1/4 cents
May soybean meal closed at $485.70, down $2.60
May soybean oil closed at 43.00, down 41 points
May wheat closed at $6.68 and 1/4, down 23 cents
Apr. live cattle closed at $143.45, down 75 cents
Jun. lean hogs closed at $122.35, down $2.47
May crude oil closed at $104.37, up 7 cents
Jul. cotton closed at 92.21, down 13 points
May Class III milk closed at $21.84, down 30 cents
May gold closed at $1,288.50, down $5.40
Dow Jones Industrial Average: 16,449.25, up 40.71 points
For additional futures prices and charts click http://www.farms.com/markets
Market News Review
Soybeans were lower on fund and speculative selling. Contracts backed down from last week’s highs due to widespread soil moisture recharging rainfall. In any event, there was no real fresh news to start out the week and there are continued concerns about long term Chinese demand due to a combination of previously purchased beans and credit issues. That said – the tight near term supply did help contracts close above session lows. China reports soybean imports for March were 4.623 million tons, 3.693 million of that U.S. beans, with year to date purchases at 15.346 million pounds, 13.738 million of that U.S. origin. Soybean meal and oil were lower, following the lead of beans.
Corn was lower on fund and speculative selling. Corn’s also watching that rainfall and expecting some solid planting progress, but, there are definitely delays in some areas. USDA reports 6% of corn is planted, less than what the trade had been expecting, compared to 4% last year and 14% on average. Since that planting figure was lower than expected, corn may be able to pull a Turnaround Tuesday session. Ethanol futures were higher. According to China’s Ministry of Commerce, corn imports for March were 48,131 tons, down nearly 80% on the year, with the U.S. supplying 11,942 tons, a 95% drop, and Thailand accounting for 34,500 tons. So far this year, Chinese corn purchases are 1.179 million tons, 15% ahead of a year ago, with the U.S. making up 859,561 tons of the total. Friday, unknown destinations bought 128,000 tons of 2013/14 U.S. corn.
The wheat complex was sharply lower on fund and speculative selling. The trade’s responding to rainfall in the Southern Plains, but the region will need a lot more. For the winter crop, USDA says 9% has headed, compared to 17% on average, with 34% of the crop rated good to excellent, unchanged, but with 1% moving from good to excellent, and for spring wheat, 10% is planted, compared to 7% a year ago and 19% on average. China’s Ministry of Commerce states March wheat imports were 538,950 tons, 86% larger than March 2013, with Australia accounting for 325,684 tons. For the year to date, Chinese wheat purchases are 1.843 million tons, 167% above this time last year, with most of that from Australia, followed by the U.S. The trade’s also keeping an eye on political developments around the Black Sea region.
Cattle country was very quiet on Monday afternoon as packers limited their efforts to the collection of the new showlists. This week’s fed offering appears to be generally larger with only Texas showing fewer ready slaughter steers and heifers. A few asking prices have been floated around 148.00 in the South and 238.00 plus in the North. The slaughter totaled 103,000 head, 12,000 smaller than last week and 19,000 below 2013.
Boxed beef cutout values were higher on moderate to fairly good demand and light to moderate offerings. Choice beef was up 2.71 at 229.06, and select was 2.84 higher at 218.07.
Live cattle contracts on the Chicago Mercantile Exchange closed 17 points higher to 75 lower. Aggressive pressure developed through the April contracts despite the initial attempt to keep the trade contained to a narrow trading range. The lead contract was as much as 1.57 lower and pushed below 143.00, a close at that level could have sparked additional pressure through the front month contracts. However the contract did see a rebound and closed off the low of the day. April settled .75 lower at 143.45, and June was up .17 at 134.55.
Feeder cattle settled 5 to 72 points higher on the moderate to strong losses in the corn futures market. May settled .05 higher at 178.10 and August was .50 higher at 181.90.
Feeder cattle receipts at the Oklahoma National Stockyards on Monday totaled 6200 head. Compared to last week feeder steers opened steady to 2.00 higher. Feeder heifers were lightly tested with a few sales steady. Steer and heifer calves opened steady. The early quality was mostly plain to average. Yearling steers weighing 650- to 700 pounds traded from 189.50 to 191.00. A part load of replacement heifers weighing 635 traded at 182.50.
Lean hogs settled 20 to 270 lower. Traders sought additional direction from wholesale and retail pork demand. But the concern that buyer support will ease now that the Easter season is over created some short term concern through the complex. May settle 2.709 lower at 120.80, and June was down 2.47 at 122.35.
Barrows and gilts in the Iowa/Minnesota direct trade closed 1.72 higher at 115.73 weighted average on a carcass basis, the West was up 1.52 at 115.47, and the East was 1.02 lower at 110.56. Missouri direct base carcass meat price was steady to 4.00 lower at 108.00. Barrows and gilts on a live basis in the Midwest closed steady with an instance of 3.00 to 5.00 lower from 81.50 to 96.00.
The pork cutout value was 1.92 lower at 119.42 FOB plant
After two weeks of significantly lower hog sales, many expect greater country spending now that Easter has come and gone, and the next major shift in ready numbers of barrows and gilts will be lower regardless of the exact level of PEDv death loss through the winter.
Some plants were dark on Monday for Easter. The hog slaughter was estimated at just 273,000 head, 104,000 less than last week and down 136,000 from last year.
Click here to see more...