Ag Market Commentary

Corn futures closed the day with most contracts 2 to 4 1/2 cents lower. The ethanol market is weaker, following a slight uptick in stocks. Weakness in wheat also dragged on corn. This morning’s EIA report showed ethanol production in the week of 4/19 picking up by 32,000 barrels per day to 1.048 million bpd. That was the largest weekly output since early January. Stocks were up just 71,000 barrels to 22.747 million barrels, with the Gulf and East Coast the only regions seen higher. Analysts are expecting to see 0.6-1 MMT in old crop corn export sales for the week of 4/18 in Thursday’s report, with 0-100,000 MT for new crop.

May 19 Corn closed at $3.46 3/4, down 4 1/2 cents,

Jul 19 Corn closed at $3.56, down 4 1/4 cents,

Sep 19 Corn closed at $3.64 1/4, down 4 cents

Dec 19 Corn closed at $3.76, down 3 3/4 cents

--provided by Brugler Marketing & Management

Soybean futures settled with 6 3/4 cent losses in all 2019 contracts on Wednesday. Spillover from the grains pressured the market lower. Meal futures were 60 cents/ton lower, with May soy oil 14 points in negative territory. May options expire on Friday. Old crop soybean export bookings are seen at 300,000-700,000 MT in tomorrow’s Export Sales report, with 0-50,000 MT for new crop. Canadian Canola acreage is expected to be down 6.6% from last year at 21.314 million acres, based off Stats Canada data released this morning. That was expected heading into today. Soybean acreage is also seen down 10.7% yr/yr at 5.64 million acres. Weakness in the Brazilian Real vs. the dollar was also seen as pressure on Wednesday.

May 19 Soybeans closed at $8.55 1/4, down 6 3/4 cents,

Jul 19 Soybeans closed at $8.68 3/4, down 6 3/4 cents,

Aug 19 Soybeans closed at $8.74 3/4, down 6 3/4 cents,

Nov 19 Soybeans closed at $8.89 1/2, down 6 3/4 cents,

May 19 Soybean Meal closed at $300.40, down $0.60,

May 19 Soybean Oil closed at $27.92, down $0.14

--provided by Brugler Marketing & Management

Wheat futures ended the Wednesday session with most contracts 6 to 10 cents lower, following confirmation of higher Canadian acres. Canadian wheat acres are seen at 25.674 million acres for 2019, up 3.8% from last year and above most estimates according to this morning’s Stats Canada report. That jump in acreage is due to a 12% yr/yr increase in spring wheat acres, at 19.387 million. That is also a 22.69% jump in spring wheat acres since 2017. Durum acres are down 18.8% at 5.021 million acres. Thursday morning’s Export Sales report is expected to show 200,000-450,000 MT in old crop wheat sales for the week of April 18, with 100,000-300,000 MT for new crop.

May 19 CBOT Wheat closed at $4.32 1/4, down 6 1/2 cents,

May 19 KCBT Wheat closed at $4.04 1/2, down 10 cents,

May 19 MGEX Wheat closed at $5.03 1/4, down 8 cents

--provided by Brugler Marketing & Management

Live cattle futures saw $1.55 to $2.775 losses in most contracts on Wednesday. Feeder cattle futures were down $2.775 to $3.10 in the 2019 contracts. The CME feeder cattle index was down 6 cents to $145.78 on April 23. Wholesale boxed beef prices were lower on Wednesday afternoon. Choice boxes were down $1.15 at $232.96, with Select boxes 98 cents lower @ $220.28. USDA estimated this week’s FI cattle slaughter at 357,000 head through Wednesday. That was down 6,000 head from the week prior but 3,000 above the same week last year. Wednesday’s FCE online auction saw one lot of 124 head sold for $127, with the other 3 lost unsold and asks of $127.75-128. A few cash trades were shown at $126 in the South on Wednesday.

Apr 19 Cattle closed at $126.775, down $1.550,

Jun 19 Cattle closed at $118.350, down $2.775,

Aug 19 Cattle closed at $115.825, down $2.375,

May 19 Feeder Cattle closed at $146.525, down $3.100

Aug 19 Feeder Cattle closed at $156.725, down $2.975

Sep 19 Feeder Cattle closed at $157.875, down $2.975

---provided by Brugler Marketing & Management

Lean Hog futures were 40 cents to $1.35 higher in the nearby contracts on Wednesday. The CME Lean Hog Index was up another 53 cents from the previous day @ $82.07 on April 22. The USDA pork carcass cutout value was $1.94 lower in the Wednesday afternoon report, at $86.98. The butt and rib primals were the only reported higher. The national average base hog was at $80.98 on Wednesday, up 41 cents from the day prior. Estimated FI hog slaughter for this week is 1.276 million head through Wednesday. That was down from last year and the week prior due to Monday’s plant down time.

May 19 Hogs closed at $89.175, up $1.350,

Jun 19 Hogs closed at $92.775, up $0.400

Jul 19 Hogs closed at $97.650, up $0.450

--provided by Brugler Marketing & Management

Cotton futures posted 79 to 80 point losses in the front months on Wednesday. The Dollar index saw continued strength on Wednesday, at its highest point since May 2017. There were 114 deliveries against May on Wednesday. USDA will update their weekly Export Sales report on Thursday, with a close eye kept on Chinese business. The Cotlook A Index was down 50 points at 87.75 on April 23. The weekly Average World Price (AWP) is 68.88, effective through Thursday.

May 19 Cotton closed at 75.770, down 80 points,

Jul 19 Cotton closed at 77.120, down 79 points

Oct 19 Cotton closed at 76.170, down 80 points

--provided by Brugler Marketing & Management

Market Commentary provided by:

Brugler Marketing & Management LLC
1908 N. 203rd St.Omaha, NE 68022
Phone: 402-697-3623
Fax: 402-289-2353

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