Kentucky Farm Bureau

With a backdrop of negative crop fundamentals, today’s sharp drop in crude oil futures seemed to embolden the sellers at the CBOT. Early talk that the US and China officials were discussing trade negotiations didn’t hold the market up. Cattle futures closed higher and near the day’s highs on apparent short-covering.

Despite bearish outside markets (stronger US Dollar, weaker energy futures), corn and soybean futures closed just 1-3 cents up/down from Friday’s closes. Cattle futures closed lower except for the Dec and Feb LC contracts, despite the stronger US Dollar and the sharp drop in US stock prices. Lean Hog futures posted moderate to strong gains today on news that African Swine Fever was found in part of China’s hog feed supply.  

Despite the USDA WASDE report being generally bearish, CBOT futures managed to close near steady. USDA cut the US average yield for corn by 1.8 bu/acre to 178.9 bu/acre, and soybeans by 1.0 bu/acre to 52.1 bu/acre. The cut in US production was bigger than traders expected. Cattle futures closed slightly higher despite a weak boxed beef market. Crude Oil is in a bear market as U.S. production hit a new record high of 11.6 million barrels/day last week.

CBOT futures closed mostly lower as traders positioned themselves for tomorrow’s latest crop production estimates and US/World supply-demand estimates. Traders on average expect USDA to lower corn and soybean yield just a touch.  Live cattle futures were slightly lower beyond the nearby December LC contract which gained 67 cents.

CBOT futures closed mixed with 0-2 cent losses in corn and soybeans and 3-7 cent gains in wheat contracts. Traders are generally waiting on the election results and the updated supply-demand estimates coming Thursday.  Cattle futures closed narrowly mixed, following Monday’s sharp losses. Support came from short-covering and strength in boxed beef.

CBOT futures closed mixed with minimal price changes. Soybean futures are consolidating the big gains posted Thursday from signs that China may be more open to trade talks. Traders are generally waiting to see how tomorrow’s election turns out and to see the USDA supply-demand updates midday Thursday.

CBOT futures closed lower under pressure from harvest, rains in South America, and ongoing trade tensions with China.  Cattle futures closed narrowly mixed to follow up on Friday’s huge gains. Last week’s cash cattle trade up $3.00 versus the previous week.

CBOT futures closed mixed with wheat finishing sharply lower, but well off the day’s lows.  Live Cattle futures closed modestly higher on renewed optimism for the cash market amid ideas beef consumption was strong over Labor Day weekend. Lean Hog futures closed higher with support from a stronger pork market and optimism for cash hog prices.