Market Closes - November 17, 2015

Posted on Nov 17, 2015
For a second day, corn and soybeans gained while wheat futures dropped. Although a stronger US Dollar and weaker energy futures weighed on prices, corn and soybeans rallied due to Monday’s bullish reversal off low levels and fund buying (reducing short positions slightly). Slow country sales due to farmers resisting the current low prices is supportive as most traders think farmers will not move grain until 2016. Wheat futures dropped on fund selling and generally bearish supply-demand fundamentals.

Cattle futures closed higher today after breaking lower early this morning in follow-through selling from Monday’s limit-down losses. Many contracts set new contract lows before recovering after the technical selling ended. Expect cattle futures to remain volatile with uncertainty about where the cash fed market will trade on a week-to-week basis. Boxed beef values were mixed today -- Choice dropped .67 to 208.37 and Select gained .94 to 197.93/cwt. At midday, Choice was up .19 and Select was up 1.55. The monthly Cattle on Feed Report comes out Friday afternoon.

Lean Hog futures closed strongly higher, reversing much of Monday’s limit-down losses. The turnaround in cattle futures probably played a part in this. The pork market wasn’t any help as FOB Plant Pork fell 2.66 to 72.03 on sharp losses in the value of bellies and picnics.

Corn Dec +2 362 (358-62); Jly unch 378; Dec16 unch 390 Bean Jan +4 864 (858-65); Jly +4 876; Nov +2 882 Meal unch 289 Oil +18 2747 Wheat Dec -6 487; Jly -7 493 (491-500) KC -4 463; MGE -3 502 Oats +3 238 Rice +22 1206

LC Dec +35 12802 (low 12550); Feb +92 13057; Apr +127 13082 FC Nov +117 17347; Jan +120 16130; Apr +200 16065 LH Dec +237 5417; Feb +232 5637; Apr +197 6130 Milk Nov -3 1537; Dec -7 1475

 

US$ +.3% Dow +6 17490 SP -3 2050 NAS +1 4986 Tran +6 8058 VIX +.68 18.84

WTI -62 4112 Brent -57 4399 Gas +1 125 NG -1 237 HO unch 138 Eth unch 146 Gold -14 1069 Slvr -8 1414

2-yr +.008 0.859% 5-yr +.005 1.657% 10yr -.006 2.267% 30yr -.018 3.054%

Lexington Auction Weighted Average Report for 11/16/2015 Receipts: 1223 Last Week: 1653 Year Ago: 1151 Compared to last week steer calves sold mostly 10.00 lower early and sharply lower late with very light demand. Heifer calves sold sharply lower with very light demand. Bearish CME cattle futures continue to cause concern for buyers trading down the limit again today. Yearlings limited comparison. Quality was plain through good. Slaughter cows sold 2.00 to 3.00 lower with light demand. Slaughter bulls sold 3.00 to 5.00 lower with light demand.

Tagged Post Topics Include: Economics, Market updates