The downside of the persistent below-normal temperatures is becoming apparent – a lack of rain. The weather pattern is stuck with a cool, dry area over most of the Corn Belt. Consequently, traders are beginning to buy corn and soybean futures on ideas that yield predictions may have maxed out. Continued strong export demand for soybeans, old and new, gave soy futures an extra boost.

Corn and soybean ratings for the 18 major states dropped from last week by 1 points and 2 points, respectively. (KY’s ratings fell 9 points in corn and 11 points in soybeans)  Corn and soybean conditions have deteriorated markedly this week, but are still just above the 5-year average rating.

Corn Conditions – 18 States .          Good/Excellent Poor/V.Poor This Week   75%         6% Last Week   76%         5% Last year   63%        11%

In Dough stage: 17% vs 16% average

Soybean Conditions – 18 States .        Good/Excellent Poor/V.Poor This Week   71%       6% Last Week   73%       5% Last year   63%        9%

Setting Pods: 38% vs 31% average

Winter Wheat Harvested – 18 States 83% this week versus 80% last year and 80% for 5-year average.

U.S. Pasture: 52% good/excellent vs 55% last week and 44% year ago. 17% poor/v.poor vs 17% last week and 28% year ago. Live Cattle futures closed mixed. The nearby August LC contract opened strongly on carryover support from last week’s higher cash and futures markets but quickly sold off. Late-day futures and boxed beef values were stronger so Tuesday may see a good market. Choice 1-3 600-900 lbs carcasses up 1.92 at 259.30; Select 1-3 600-900 lbs carcasses up 1.84 at 256.17/cwt. Feeder Cattle futures closed sharply higher on support from Friday’s USDA reports. August FC set a new contract high.

Lean Hog futures closed mostly lower after opening higher this morning in sympathy with the cattle markets. The buying faded almost immediately and futures drifted lower all day. Cash hog prices were weaker as was the pork cutout. FOB Plant Pork closed down .85 to 130.94/cwt but was up 1.73 at midday

Corn Sep +5 368; Dec +5 377; Dec’15 +4 416 Bean Aug +24 1236; Sep +23 1137; Nov +24 1108; Nov’15 +18 1097 Meal Aug +5 403; Oct +7 360 Oil +43 3652 Wheat Sep -3 535; Dec -2 558; Jly -2 606 KC -6 625; MGE -6 621 Oats +18 366 Rice -1 1292

LC Aug -5 15905; Oct -72 15907; Feb +65 15750 FC Aug +192 22017; Oct +200 22085; Mar +187 21175 LH Aug +5 12367; Oct -65 10662; Feb -87 9270 Milk Aug +15 2160; Sep +38 2110

US$ unch

Dow -22 16983 SP +1 1979 NAS -5 4445 Tran -95 8333 VIX -.13 12.56 WTI -52 10157 Brent -83 10756 Gas -1 285 NG -4 374 HO -3 289 Eth +5 219 Gold +1 1304 Slvr -2 2062

2-yr +.012 0.504% 5-yr +.029 1.705% 10yr +.020 2.489% 30yr +.012 3.255%

 

KENTUCKY CASH GRAIN PRICES – Click Here 

KENTUCKY LIVESTOCK AUCTIONS --  Click Here 

Subscribe to “Between the Rows” e-newsletter from the KFB Commodity Division by Clicking Here.