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Soybeans Prices Higher, Pork & Beef Higher

Monday's Closing Grain and Livestock Futures
Mar. corn closed at $4.23 and 1/4, down 2 and 1/4 cents
Jan. soybeans closed at $13.37 and 3/4, up 10 and 1/4 cents
Jan. soybean meal closed at $439.00, up $6.40
Jan. soybean oil closed at 39.75, down 8 points
Mar. wheat closed at $6.21 and 3/4, down 7 cents
Dec. live cattle closed at $132.00, up 12 cents
Feb. lean hogs closed at $86.62, down 55 cents
Jan. crude oil closed at $97.48, up 88 cents
Mar. cotton closed at 83.38, up 16 points
Jan. Class III milk closed at $18.67, up 15 cents
Dec. gold closed at $1,245.50, up $9.80
Dow Jones Industrial Average: 15,755.56, up 129.21

For additional futures prices visit http://www.farms.com/markets

Market News Report

Soybeans were higher on commercial and fund buying, along with spillover from the outside markets, with the dollar lower and crude oil and the Dow higher. The near term supply remains tight and demand is good, but the trade remains concerned about potential cancellations by China. At least over the near term, the trade will be watching a drier trend in parts of South America. The National Oilseed Processors Association reports the soybean crush during November by member firms was 160.145 million bushels, compared to 157.063 million in October and 157.308 million in November 2012. NOPA member soybean oil stocks were pegged at 1.486 billion pounds, compared to 1.377 billion last month and 2.375 billion last year. Bean meal was up and bean oil was down on the adjustment of product spreads.

Corn was lower on fund and technical selling. Corn has a pair of demand issues hanging over it, namely last week’s Senate proposal to end the ethanol mandate and China’s recent rejections of U.S. corn shipments. On the supply side, stocks are projected at 5 year highs thanks to this year’s record crop. Ethanol futures were higher. According to Reuters, Mexico will apply a 20% import tax to white corn and 15% import tax to sorghum. Mexico mainly buys white corn from South Africa. Yellow corn, purchased primarily from the U.S., will remain duty free.

The wheat complex was lower on technical and fund selling. Wheat’s fundamentals look pretty much neutral, but the trade’s continuing to absorb the recent Canadian production number, while watching harvest in Argentina and Australia. Past that – there’s no real fresh fundamental news to start out the week. Late Monday, Egypt issued a new wheat import tender. Ukraine’s Ag Ministry reports grain exports since the start of the marketing year are 15.9 million tons, 22.3% more than this time last year, with wheat accounting for 6.33 million tons and milling quality wheat making up 5.08 million tons of that. The Ministry adds grain stocks as of December 1 were up 29% on the year at 27.6 million tons. Russia’s Ag Ministry, via Reuters, has a 2014 grain production target of 95 million tons, 55 million of that wheat.

Cattle country was slow on Monday; DTN does not expect to see any significant trade volume until the second half of the week. New showlists appear to be smaller in all areas. Early ideas are that asking prices will be around 133.00 plus in the South and 210.00 in the North. The kill totaled 120,000 head, 1,000 more than last week and 20,000 more than a year ago.

Boxed beef cutout values were higher on moderate demand and light offerings. Choice boxed beef was up 1.08 at 199.97, and select was 1.40 higher at 188.41.

Chicago Mercantile Exchange live cattle contracts settled 10 to 65 points higher. The firm support in both the choice and select beef values in the morning report sparked renewed futures market interest. The trade volume remained light to moderate but firmness in in fundamentals appeared to give traders enough encouragement to remain active through the Monday session. December settled .12 higher at 132.00 and February was up .65 at 133.50.

Feeder cattle contracts ended the session 32 to 132 higher. Support came from higher live cattle futures and weakness in corn futures. January settled 1.32 higher at 168.40, and March was up .82 at 167.35.

Lean hogs settled unchanged to .55 lower. The moderate to strong pressure in hog futures softened significantly due in part to the rebound in live cattle futures. Sharply higher pork values at midday also worked to stem early pressure in the complex. February settled .55 lower at 86.62, and April was down .42 at 91.07.

Feeder cattle receipts at the Oklahoma National Stockyards totaled 10,700 head on Monday. Compared to the sale two weeks ago, feeder cattle were not well tested in the early rounds, a few sales were steady. Steer and heifer calves were lightly tested and a higher undertone was noted. Demand was very good for cattle heading back to pasture and moderate for feedlot cattle. Feeder steers medium and large 1, calves weighing 550 to 600 pounds traded at 179.00 to 193.50. Heifer calves weighing 500 to 535 pounds traded from 168.00 to 184.00.

Barrows and gilts in the Iowa/Minnesota direct trade closed 3.34 lower at 75.50 weighted average carcass basis. The West was down2.98 at 75.44, and the East was not reported due to confidentiality. Missouri direct base carcass meat price closed steady from73.00 to 75.00. Terminal hogs were steady to an instance of 1.00 higher from 52.00 to 58.00.

Pork carcass value ended 4.16 higher FOB plant at 91.14.

Hog trade volume is expected to start to slow through the week as traders focus on the upcoming holidays. Although there is a hope and expectation for a late month push to purchase pork cuts for the holidays, consumer buyer interest has been sluggish over the last couple of weeks, leaving the impression that most buyers are finding other areas to spend their Christmas budget than pork for the holidays.

Monday’s hog slaughter was estimated at 438,000 head, 3,000 more than last week, and 5,000 greater than last year.

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Trending Video

AJ Armstrong Takes the Helm as Manitoba Seed Growers President

Video: AJ Armstrong Takes the Helm as Manitoba Seed Growers President

The Manitoba Seed Growers Association (MSGA) held its first annual SeedLink Conference in Brandon last week, where a new president was appointed to take the helm of the organization.

A.J. Armstrong of Armstrong Seeds in Boissevain took the gavel from Past-President Tom Greaves. In a sit-down interview, Armstrong shared insights into his personal journey within the seed industry. Born into a family deeply rooted in seed cultivation, he took the reins of the family business in 2003, building on a legacy initiated by his father in 1980.

Regulatory modernization emerged as a significant focus of the conversation. While acknowledging the complexities of the process, Armstrong expressed optimism about the potential benefits for seed growers once the regulatory framework is finalized.

Discussing the dynamics of working with family in a business setting, he stressed the importance of open communication.

Operating with a streamlined team that includes his mom as the bookkeeper, his father as the “gopher” handling specific tasks, and a dedicated employee for day-to-day operations, the Armstrong family has successfully navigated the intricate balance of personal and professional relationships.

Open discussions about roles, responsibilities, and business plans contribute significantly to the smooth functioning of a family-operated seed business,” he said.

SeedLink is a new event; the decision to explore a return to a two-day annual meeting format sparked enthusiasm among industry partners, including key players and sponsors like SeCan, FP Genetics, Canterra Seeds, and numerous others.