AgriCharts Market Commentary

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Corn Higher on Friday, as July Rose Nearly 9% this Week

Corn futures ended the Friday session with deferred 2020 contracts steady to 6 1/2 cents higher and 2019 contracts up 7 to 11 cents. The bull spreading is reflecting the strength in the cash markets, especially in the ECB. The front month continuation chart hit its highest price since June 2014, as July was up 8.96% this week. Ethanol futures were up 3.9% on Friday. USDA reported a private export sale of 125,613 MT of 19/20 corn to Unknown Destinations this morning. Spec traders in corn futures and option added 23,969 contracts to their net long position as of June 11, now at 111,212 contracts.

Jul 19 Corn closed at $4.53, up 11 cents,

Sep 19 Corn closed at $4.58 1/4, up 10 1/2 cents,

Dec 19 Corn closed at $4.63 1/2, up 7 3/4 cents

Mar 20 Corn closed at $4.67 1/2, up 6 1/2 cents

--provided by Brugler Marketing & Management

Soybeans Higher on Spillover from Corn, Narrowing Planting Window

Soybean futures saw 8 to 8 3/4 cent gains in most contracts on Friday, with July up 4.73% this week. Spillover from corn was supportive, along with forecasts calling for heavy rainfall totals in the ECB. Soymeal was up $1.80/ton, with bean oil 41 points lower. A Private export sale of 130,000 MT of soybeans to Unknown Destinations for 18/19 was reported this morning. An additional sale of 130,0000 MT of 18/19 beans to China was offset by a cancellation of 136,000 MT. Ahead of NOPA’s monthly crush update, analysts expect the report to show that members crushed 162.474 mbu of soybeans in May. Friday’s Commitment of Traders report showed money managers backing off their net short position in soybean futures and options by 2,201 contracts as of Tuesday to a net position of -91,155 contracts.

Jul 19 Soybeans closed at $8.96 3/4, up 8 3/4 cents,

Aug 19 Soybeans closed at $9.03, up 8 1/2 cents,

Sep 19 Soybeans closed at $9.10, up 8 1/4 cents,

Jan 20 Soybeans closed at $9.35, up 8 1/4 cents,

Jul 19 Soybean Meal closed at $323.50, up $1.80,

Jul 19 Soybean Oil closed at $27.61, down $0.41

--provided by Brugler Marketing & Management

Wheat Finds Strength from Corn Late in the Session

Wheat futures closed Friday with most winter wheat contracts 1 to 8 cents higher and MPLS down 3 to 5 cents. Support came from corn, as the KC wheat-corn nearby spread was the lowest since 2013, helping to prop up the nearby HRW contracts. KC was up 6.07% this week, with nearby CBT rising 6.74% and MPLS actually down 0.97%. As of Tuesday, spec funds in Chicago wheat futures and options flipped their net position by 15,089 contracts to net long 1,741 contracts. In KC wheat futures and options, they were still net short 23,624 contracts. Taiwan importers are tendering for 83,200 MT of US wheat.

Jul 19 CBOT Wheat closed at $5.38 1/2, up 3 cents,

Jul 19 KCBT Wheat closed at $4.76 1/4, up 8 cents,

Jul 19 MGEX Wheat closed at $5.63 1/4, down 3 cents

--provided by Brugler Marketing & Management

Cattle Lower on Friday

Live cattle futures were down 27.5 to 80 cents in most contracts on Friday, as June was up 1.73% this week. Feeder cattle futures were down 70 cents to $1.175, as August lost 1.26% on the week. The CME feeder cattle index was down $1.11 to $132.25 on June 13. Wholesale boxed beef prices were mixed on Friday afternoon, with the Ch/Se spread jumping out to $19.47. Choice boxes were up 13 cents at $222.23 with Select boxes $1.95 lower @ $202.76. USDA estimated week to date FI cattle slaughter @ 665,000 head. That is 17,000 head larger than the same point last year and up 3,000 from last week. A few dressed sales of $186 were reported in NE this week, with scattered cash trade of $112-114 in the south. Spec traders in live cattle futures and options trimmed another 6,704 contracts from their net long position to 41,138 contracts, the smallest net long position since last July.

Jun 19 Cattle closed at $108.775, down $0.275,

Aug 19 Cattle closed at $104.275, down $0.450,

Oct 19 Cattle closed at $105.475, down $0.675,

Aug 19 Feeder Cattle closed at $135.525, down $0.700

Sep 19 Feeder Cattle closed at $135.800, down $0.700

Oct 19 Feeder Cattle closed at $135.750, down $0.725

--provided by Brugler Marketing & Management

Hogs Triple Digits Lower on Friday

Lean Hog futures ended Friday with most contracts $1.90 to $2.20 lower, as June expired at $79.375. The CME Lean Hog Index was up 3 cents from the previous day @ $79.57 on June 12. The USDA pork carcass cutout value was up 20 cents on Friday afternoon at $83.21. The national average base hog was 4 cents lower at $75.79 per hundred pounds. This week’s estimated FI hog slaughter through Saturday was 2.431 million head. Friday’s CTFC report showed specs backing off their net long position by 5,491 contracts to 38,925 contracts as of Tuesday.

Jun 19 Hogs closed at $79.375, up $0.150,

Jul 19 Hogs closed at $81.350, down $2.025

Aug 19 Hogs closed at $80.625, down $2.200

--provided by Brugler Marketing & Management

Cotton Lower on Friday, Pressured by Stronger Dollar

Cotton futures closed the day with 52 to 89 point losses, as July was up 0.53% this week. July options expired on Friday. A sharply higher US dollar index pressured the market, up 559 points. Spec funds in Cotton futures and options added 2,436 contracts to their net short position as of Tuesday, at 30,241 contracts. The Cotlook A index for June 13 was down 100 points from the previous day to 77.50 cents/lb. The weekly Average World Price (AWP) from USDA is 58.97 cents/lb through next Thursday, down 2.54 cents from last week.

Jul 19 Cotton closed at 65.940, down 89 points,

Oct 19 Cotton closed at 66.610, down 52 points

Dec 19 Cotton closed at 65.750, down 68 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