Stewart-Peterson Market Commentary

Closing Commentary - April 24, 2018

Top Farmer Midday Update 4-24-18

CORN: Corn futures are unchanged in light volume as participants sit back and wait for weather to dictate price movement. For now, history shows us that the crop will get planted, though top-end yield potential is diminished the later it gets. A lot should get planted over the next 10 days. Jul and Dec corn is steady at 3.87-1/2, underpinned by good weekly export sales on Monday. Dec is steady at 4.04-1/4, supported by the slow start to seeding. Outside markets are also quiet with crude off 13 cents, the dollar steady.

SOYBEANS: Soybean futures are unchanged at mid-session after trading with a weak tone all morning. Jul beans are at 10.32. A lower close today would be the fifth consecutive down day as global users source most of their supplies from Brazil. Argentina was a buyer of 130,000 tons of U.S. beans in a morning announcement, ending a string of 2 weeks since we’ve seen a morning bean export sale announcement from USDA. Of the total; 60,000 tons is old crop and 70,000 is new crop. Nov is now up 3/4 cent to 10.29, mid-range from the April 2 peak of 10.60 and the spike low at 9.97-3/4 formed just two days later.

WHEAT: Wheat futures are lower with Jul CBOT down 4-1/2 cents to 4.70, a fresh 3-week low. Jul KC wheat is down 3-1/2 cents to 4.99-1/4, while closing in on the 200-day moving average support found at 4.96. U.S. winter wheat crop conditions were unchanged on the week, and rain chances are still forecasted in the near future in areas of the U.S. Plains. However, more widespread pressure stems from improved production forecasts for Russia’s wheat crop, a major source for much of that side of the globe. Sep MPLS wheat is down a penny to a 3-week low of 6.01.

CATTLE: Cattle futures are mixed, led by 1.000 gains in Jun live cattle to 104.875, anticipating sustained strength in the cash market where asking prices are hovering around $125/cwt, and firm retail meat values. Nearby Apr fats are up 0.150 to 121.875, off the session high of 122.200. May feeders are up 0.575 to 141.750.

HOGS: Hog futures are lower on selling pressure tied to Monday afternoon’s Cold Storage report, and spreading long cattle/short hogs. On Monday, hogs lost 2.50 to cattle. There are more bellies, but fewer hams than a month ago, according to the data. Loins are up, but not enough to make a big difference. Total red meat supplies in freezers were up 1 percent from the previous month and up 7 percent from last year. May hogs are down 0.675 to 67.325, a two-week low. Jun is down 0.950 to 75.425. Jul is down 0.800 to 78.100.

Market Commentary provided by:

137 South Main Street, West Bend, WI 53095
Phone: 800-334-9779