Market Closes - September 8, 2015

Posted on Sep 8, 2015
CBOT futures closed moderately higher after the 3-day weekend. The bulls and bears are debating yields. Bulls say early reports are disappointing; bears will point out tonight’s USDA crop condition report that’s unchanged from last week. Futures were supported by higher energy futures and a weaker US Dollar. Corn futures finished strong, but soybeans closed weak and well off the day’s highs. Note that the spec funds are long corn futures, but short soybeans and wheat. USDA will release its updated crop estimates on Friday.

As of September 6, 2015 Corn Conditions – 18 States . Good/Excellent Poor/V.Poor This Week 68% 10% Last Week 68 10 Year Ago 74 7

Corn Dented 76% this week vs 67% year ago and 75% for 2010-14 average.

Corn Mature 20% this week vs 14% year ago and 26% for 2010-14 average.

Soybean Conditions – 18 States . Good/Excellent Poor/V.Poor This Week 63% 11% Last Week 63 11 Year Ago 72 6

Soybeans Dropping Leaves 18% this week vs 11% year ago and 16% for 2010-14 average.

Pasture Conditions 48% good/excellent vs 19% poor/v.poor

Cattle futures closed sharply higher on technical buying as the outside markets (mainly equities) were mostly supportive. Cattle futures ended last week barely above key chart support so the shorts covered without bearish news today. Boxed beef values weighed on the market. Choice down 0.91 at 239.16; Select up 0.26 at 228.65.

Lean Hog futures closed slightly higher beyond the nearby October LH contract. Support came from the cattle market, stronger pork values and the upward momentum off the August 24 lows. FOB Plant Pork ended up .36 at 85.67.

Corn Dec +5 368; Jly +5 392; Dec16 +5 393 Bean Nov +13 879; Jly +13 889; Nov16 +10 870 Meal +1 310 Oil +40 2693 Wheat Dec +7 475; Jly +6 492 KC +2 477; MGE +2 505 Oats +4 227 Rice +15 1226

LC Oct +300 limit 14347; Feb +292 14562; Apr +267 14445 FC Sep +295 20430; Oct +382 19952; Jan +390 19065 LH Oct -37 6877; Dec +25 6360; Feb +40 6820 Milk Sep unch 1614; Oct -9 1628

 

US$ -.3% Dow +390 16493 SP +48 1969 NAS +128 4812 Tran +219 8013 VIX -2.90 24.90 -10.4%

WTI -34 4571 Brent +172 4935 Gas -2 140 NG +4 269 HO -1 159 Eth +1 146 Gold unch 1121 Slvr +22 1476

2-yr +.032 0.737% 5-yr +.051 1.517% 10yr +.058 2.186% 30yr +.069 2.960%

Lexington Auction (Tues) Weighted Average Report for 09/08/2015 Receipts: 436 Last Week: 667 Year Ago: 1197 Compared to last week steer calves under 600 lb sold 2.00 to 5.00 lower with featherweight steers sharply lower; over 600 lbs sold weak in a light test. Heifer calves under 600 lbs sold 5.00 lower in a light test; over 600 lbs sold weak. High temperatures reduced demand for soft fleshy new crop featherweight calves today. Yearlings sold steady to weak in a light test. Slaughter cows sold 1.00 to 2.00 lower with light demand. Slaughter bulls sold steady to weak with moderate demand. Kentucky Weekly Livestock Summary for the week of Aug 31-Sep 5, 2015. Receipts This Week Last Week Last Year 12,779 12,409 11,058 Compared to last week, steer and heifer calves began 2.00 to 5.00 lower continuing reaction to the price plunge at the CME. As the week progressed, however, the markets recovered a bit finishing with steers unevenly steady and heifers mostly steady to 2.00 higher. Demand was light to moderate for an average to good quality offering. Yearling steers and heifers sold 1.00 to 3.00 higher with moderate to good demand. Slaughter cows were steady to 2.00 lower and slaughter bulls steady to 3.00 lower with light to moderate demand.

Supply consisted of 9 percent slaughter, 4 percent replacement, and 87 percent feeder cattle. In the feeder supply, steers made up approximately 34 percent and heifers approximately 36 percent. Steers and heifers over 600 lbs totaled approximately 45 percent.

Tagged Post Topics Include: Economics, Market updates