News Source: BRUG

Cattle Market News and Commentary

Live cattle futures closed with 35 to 65 cent gains in most contracts, with nearby Feb down 57.5 cents. Feb was up 1.24% this week. Feeder cattle futures were steady to 30 cents higher, as March was a dime lower. Jan was down $3.20 on the week. The CME feeder cattle index was down $1.04 on January 17 at $142.05. Wholesale boxed beef prices were higher on Friday afternoon, with the Ch/Se spread tightening to $3.70. Choice boxes were up 65 cents at $212.15, with Select $1.95 81 at $209.45. USDA estimated week to date FI cattle slaughter at 620,000 head through Saturday. That is 6,000 head below last week and 7,000 head larger than the same week last year. Cash trade was mostly seen around $124 on Friday afternoon.

Feb 19 Cattle closed at $126.525, down $0.575,

Apr 19 Cattle closed at $127.375, up $0.475,

Jun 19 Cattle closed at $117.450, up $0.625,

Jan 19 Feeder Cattle closed at $141.450, up $0.025

Mar 19 Feeder Cattle closed at $142.825, down $0.100

Apr 19 Feeder Cattle closed at $144.400, up $0.175

--provided by Brugler Marketing & Management

Lean Hogs Market News and Commentary

Lean Hog futures posted 37.5 cent to $1.65 gains in most contracts on Friday. Feb was down 2.27% this week. The CME Lean Hog Index was up 16 cents from the previous day @ $58.18 on January 16. The USDA pork carcass cutout value was down 13 cents on Friday afternoon at an average weighted price of $69.97. The national base cash hog carcass value was 41 cents higher in the PM report, with a weighted average of $51.81. FI hog slaughter WTD was estimated at 2.508 million head through Saturday, which is 48,000 below last week.

Feb 19 Hogs closed at $61.225, up $0.375,

Apr 19 Hogs closed at $66.275, up $1.650

May 19 Hogs closed at $72.025, up $1.400

--provided by Brugler Marketing & Management

Corn Market News and Commentary

Corn futures saw most contracts steady to 2 cents higher on Friday. March futures were up 0.93% on the week that saw a couple sizable swings. Higher ethanol prices supported the market on Friday. The government shutdown is now in day 28, as the CFTC Commitment of Traders report will not be release until funding is restored. The markets will be closed on Monday for Martin Luther King Jr. Day. Brazil’s first corn crop harvest is estimated at 1% complete according to AgRural.

Mar 19 Corn closed at $3.81 3/4, up 1 3/4 cents,

May 19 Corn closed at $3.90, up 2 cents,

Jul 19 Corn closed at $3.97 1/4, up 1 3/4 cents

Sep 19 Corn closed at $3.99 3/4, up 1 1/4 cents

--provided by Brugler Marketing & Management

Soybeans Market News and Commentary

Soybean futures posted 8 to 9 cent gains in most nearby contracts on Friday, with March 0.71% higher this week. Soymeal futures were up $2.90/ton, with soy oil 24 points higher. Several Trade War rumors helped to support the market later in the week. We regard these as trial balloons for the next negotiating round at the end of the month. The markets will re-open on Monday evening for the normal overnight trade. AgRural estimates that the Brazilian soybean harvest is 6.1% complete, compared to the average at 1.2%.

Mar 19 Soybeans closed at $9.16 3/4, up 9 cents,

May 19 Soybeans closed at $9.30, up 9 cents,

Jul 19 Soybeans closed at $9.42 1/2, up 8 1/2 cents,

Sep 19 Soybeans closed at $9.49, up 8 cents,

Mar 19 Soybean Meal closed at $315.10, up $2.90,

Mar 19 Soybean Oil closed at $29.01, up $0.24

--provided by Brugler Marketing & Management

Cotton Market News and Commentary

Cotton futures were 20 to 48 points lower in most contracts on Friday. Nearby March was up 1.93% this week. Traders were taking profits ahead of the long weekend, with pressure also from a higher US dollar. The markets will be closed on Monday in observance of Martin Luther King Jr. day. The Cotlook A Index was up 100 points on January 17 to 82.90 cents/lb. USDA showed that 14.949 million bales of upland cotton have been classed as of January 17, with the total including Pima at 15.545 million bales. Estimated AWP was 63.06 last week, and computes to 64.07 for the coming week.

Mar 19 Cotton closed at 73.890, down 48 points,

May 19 Cotton closed at 75.320, down 34 points

Jul 19 Cotton closed at 76.590, down 20 points

--provided by Brugler Marketing & Management

Wheat Market News and Commentary

Wheat futures ended the Friday session with most contracts steady to 2 1/4 cents higher. A higher dollar limited those gains with some follow through from buying on Thursday. Nearby CBT was down 1 3/4 cents this week, with KC up 1 1/2 and MPLS 0.75% higher. There is also a little talk about potential winter kill on winter wheat, but percentage of the crop with snow cover and the actual low temps observed on bare fields will be the determinants. The Philippines reportedly purchased 85,000 MT of wheat in tenders this week.

Mar 19 CBOT Wheat closed at $5.17 3/4, unch,

Mar 19 KCBT Wheat closed at $5.06, up 2 cents,

Mar 19 MGEX Wheat closed at $5.74 1/4, up 2 1/4 cents

--provided by Brugler Marketing & Management

Ag Market Commentary

Corn futures saw most contracts steady to 2 cents higher on Friday. March futures were up 0.93% on the week that saw a couple sizable swings. Higher ethanol prices supported the market on Friday. The government shutdown is now in day 28, as the CFTC Commitment of Traders report will not be release until funding is restored. The markets will be closed on Monday for Martin Luther King Jr. Day. Brazil’s first corn crop harvest is estimated at 1% complete according to AgRural.

Mar 19 Corn closed at $3.81 3/4, up 1 3/4 cents,

May 19 Corn closed at $3.90, up 2 cents,

Jul 19 Corn closed at $3.97 1/4, up 1 3/4 cents

Sep 19 Corn closed at $3.99 3/4, up 1 1/4 cents

--provided by Brugler Marketing & Management



Soybean futures posted 8 to 9 cent gains in most nearby contracts on Friday, with March 0.71% higher this week. Soymeal futures were up $2.90/ton, with soy oil 24 points higher. Several Trade War rumors helped to support the market later in the week. We regard these as trial balloons for the next negotiating round at the end of the month. The markets will re-open on Monday evening for the normal overnight trade. AgRural estimates that the Brazilian soybean harvest is 6.1% complete, compared to the average at 1.2%.

Mar 19 Soybeans closed at $9.16 3/4, up 9 cents,

May 19 Soybeans closed at $9.30, up 9 cents,

Jul 19 Soybeans closed at $9.42 1/2, up 8 1/2 cents,

Sep 19 Soybeans closed at $9.49, up 8 cents,

Mar 19 Soybean Meal closed at $315.10, up $2.90,

Mar 19 Soybean Oil closed at $29.01, up $0.24

--provided by Brugler Marketing & Management



Wheat futures ended the Friday session with most contracts steady to 2 1/4 cents higher. A higher dollar limited those gains with some follow through from buying on Thursday. Nearby CBT was down 1 3/4 cents this week, with KC up 1 1/2 and MPLS 0.75% higher. There is also a little talk about potential winter kill on winter wheat, but percentage of the crop with snow cover and the actual low temps observed on bare fields will be the determinants. The Philippines reportedly purchased 85,000 MT of wheat in tenders this week.

Mar 19 CBOT Wheat closed at $5.17 3/4, unch,

Mar 19 KCBT Wheat closed at $5.06, up 2 cents,

Mar 19 MGEX Wheat closed at $5.74 1/4, up 2 1/4 cents

--provided by Brugler Marketing & Management



Live cattle futures closed with 35 to 65 cent gains in most contracts, with nearby Feb down 57.5 cents. Feb was up 1.24% this week. Feeder cattle futures were steady to 30 cents higher, as March was a dime lower. Jan was down $3.20 on the week. The CME feeder cattle index was down $1.04 on January 17 at $142.05. Wholesale boxed beef prices were higher on Friday afternoon, with the Ch/Se spread tightening to $3.70. Choice boxes were up 65 cents at $212.15, with Select $1.95 81 at $209.45. USDA estimated week to date FI cattle slaughter at 620,000 head through Saturday. That is 6,000 head below last week and 7,000 head larger than the same week last year. Cash trade was mostly seen around $124 on Friday afternoon.

Feb 19 Cattle closed at $126.525, down $0.575,

Apr 19 Cattle closed at $127.375, up $0.475,

Jun 19 Cattle closed at $117.450, up $0.625,

Jan 19 Feeder Cattle closed at $141.450, up $0.025

Mar 19 Feeder Cattle closed at $142.825, down $0.100

Apr 19 Feeder Cattle closed at $144.400, up $0.175

--provided by Brugler Marketing & Management



Lean Hog futures posted 37.5 cent to $1.65 gains in most contracts on Friday. Feb was down 2.27% this week. The CME Lean Hog Index was up 16 cents from the previous day @ $58.18 on January 16. The USDA pork carcass cutout value was down 13 cents on Friday afternoon at an average weighted price of $69.97. The national base cash hog carcass value was 41 cents higher in the PM report, with a weighted average of $51.81. FI hog slaughter WTD was estimated at 2.508 million head through Saturday, which is 48,000 below last week.

Feb 19 Hogs closed at $61.225, up $0.375,

Apr 19 Hogs closed at $66.275, up $1.650

May 19 Hogs closed at $72.025, up $1.400

--provided by Brugler Marketing & Management



Cotton futures were 20 to 48 points lower in most contracts on Friday. Nearby March was up 1.93% this week. Traders were taking profits ahead of the long weekend, with pressure also from a higher US dollar. The markets will be closed on Monday in observance of Martin Luther King Jr. day. The Cotlook A Index was up 100 points on January 17 to 82.90 cents/lb. USDA showed that 14.949 million bales of upland cotton have been classed as of January 17, with the total including Pima at 15.545 million bales. Estimated AWP was 63.06 last week, and computes to 64.07 for the coming week.

Mar 19 Cotton closed at 73.890, down 48 points,

May 19 Cotton closed at 75.320, down 34 points

Jul 19 Cotton closed at 76.590, down 20 points

--provided by Brugler Marketing & Management



Wheat Market News and Commentary

Wheat futures are trading steady to 2 cents higher in most contracts on Friday. A higher dollar is limiting those gains and follow through from buying on Thursday. There is also a little talk about potential winter kill on winter wheat, but percentage of the crop with snow cover and the actual low temps observed on bare fields will be the determinants. It also tends to be difficult to prove until the spring green up. The Philippines reportedly purchased 85,000 MT of wheat in tenders this week.

Mar 19 CBOT Wheat is at $5.18, up 1/4 cent,

Mar 19 KCBT Wheat is at $5.06, up 2 cents,

Mar 19 MGEX Wheat is at $5.73 1/2, up 1 1/2 cents

--provided by Brugler Marketing & Management

Ag Market Commentary

Corn futures are showing fractional to 1 cent gains in most contracts on Friday. Higher ethanol prices at midday are supporting the market. The markets will be closed on Monday for Martin Luther King Jr. Day, as the government shutdown is now in day 28. The BAGE indicated that 86.1% of Argentina’s corn crop is planted, behind the 91.2% average. Conditions of the emerged crop are 55.3% gd/ex, which is well above the same time last year. Brazil’s first corn crop harvest is estimated at 1% complete according to AgRural.

Mar 19 Corn is at $3.80 3/4, up 3/4 cent,

May 19 Corn is at $3.89, up 1 cent,

Jul 19 Corn is at $3.96 1/2, up 1 cent

Sep 19 Corn is at $3.99, up 1/2 cent

--provided by Brugler Marketing & Management



Soybean futures are showing follow through buying at midday, with most contracts 7 to 8 1/4 cents higher. Soymeal futures are up $2.80/ton, with soy oil 21 points higher. Chatter out today shows China has offered to increase annual imports by $1 trillion over the next 6 years to reduce the trade surplus. Rumors on Thursday suggested that the US was considering lifting some or all of the tariffs on Chinese imports. We regard these as trial balloons for the next negotiating round at the end of the month. AgRural estimates that the Brazilian soybean harvest is 6.1% complete, compared to 0.8% this time last year.

Mar 19 Soybeans are at $9.16, up 8 1/4 cents,

May 19 Soybeans are at $9.29 1/4, up 8 1/4 cents,

Jul 19 Soybeans are at $9.41 3/4, up 7 3/4 cents,

Aug 19 Soybeans are at $9.46 3/4, up 7 3/4 cents,

Mar 19 Soybean Meal is at $315.00, up $2.80

Mar 19 Soybean Oil is at $28.98, up $0.21

--provided by Brugler Marketing & Management



Wheat futures are trading steady to 2 cents higher in most contracts on Friday. A higher dollar is limiting those gains and follow through from buying on Thursday. There is also a little talk about potential winter kill on winter wheat, but percentage of the crop with snow cover and the actual low temps observed on bare fields will be the determinants. It also tends to be difficult to prove until the spring green up. The Philippines reportedly purchased 85,000 MT of wheat in tenders this week.

Mar 19 CBOT Wheat is at $5.18, up 1/4 cent,

Mar 19 KCBT Wheat is at $5.06, up 2 cents,

Mar 19 MGEX Wheat is at $5.73 1/2, up 1 1/2 cents

--provided by Brugler Marketing & Management



Live cattle futures are mostly 20 to 55 cents higher at midday, with nearby Feb down 70 cents. Feeder cattle futures are steady to 35 cents in positive territory. The CME feeder cattle index was down $1.10 on January 16 at $143.09. Wholesale boxed beef prices were higher on Friday morning, with the Ch/Se spread tightening to $3.28. Choice boxes were up 37 cents at $212.87, with Select $1.95 higher at $209.59. USDA estimated week to date FI cattle slaughter at 480,000 head through Thursday. That is 3,000 head above last week and 13,000 head larger than the same week last year. Cash bids are mostly $122-123 on Friday, with asks still around $127-130.

Feb 19 Cattle are at $126.400, down $0.700,

Apr 19 Cattle are at $127.100, up $0.200,

Jun 19 Cattle are at $117.325, up $0.500,

Jan 19 Feeder Cattle are at $141.775, up $0.350

Mar 19 Feeder Cattle are at $142.925, unch,

Apr 19 Feeder Cattle are at $144.400, up $0.175

--provided by Brugler Marketing & Management



Lean Hog futures are showing $1.075 to $2.50 gains on Friday. The CME Lean Hog Index was up 16 cents from the previous day @ $58.18 on January 16. The USDA pork carcass cutout value was down 51 cents on Friday morning at an average weighted price of $69.59. The national base cash hog carcass value was 23 cents higher in the AM report, with a weighted average of $51.63. FI hog slaughter WTD was estimated at 1.896 million head through Thursday, which is 188,000 larger than the same week last year.

Feb 19 Hogs are at $61.925, up $1.075,

Apr 19 Hogs are at $67.125, up $2.500

May 19 Hogs are at $72.925, up $2.300

--provided by Brugler Marketing & Management



Cotton futures are trading 5 to 28 points lower in the front months on Friday, with a higher dollar at midday. Traders are taking profits ahead of the long weekend. The markets will be closed on Monday in observance of Martin Luther King Jr. day. The Cotlook A Index was up 100 points on January 17 to 82.90 cents/lb. USDA’s showed that 14.949 million bales of upland cotton have been classed as of January 17, with the total including Pima at 15.545 million bales. Estimated AWP was 63.06 last week, and computes to 64.07 for the coming week.

Mar 19 Cotton is at 74.13, down 24 points,

May 19 Cotton is at 75.55, down 11 points

Jul 19 Cotton is at 76.74, down 5 points

--provided by Brugler Marketing & Management



Cattle Market News and Commentary

Live cattle futures are mostly 20 to 55 cents higher at midday, with nearby Feb down 70 cents. Feeder cattle futures are steady to 35 cents in positive territory. The CME feeder cattle index was down $1.10 on January 16 at $143.09. Wholesale boxed beef prices were higher on Friday morning, with the Ch/Se spread tightening to $3.28. Choice boxes were up 37 cents at $212.87, with Select $1.95 higher at $209.59. USDA estimated week to date FI cattle slaughter at 480,000 head through Thursday. That is 3,000 head above last week and 13,000 head larger than the same week last year. Cash bids are mostly $122-123 on Friday, with asks still around $127-130.

Feb 19 Cattle are at $126.400, down $0.700,

Apr 19 Cattle are at $127.100, up $0.200,

Jun 19 Cattle are at $117.325, up $0.500,

Jan 19 Feeder Cattle are at $141.775, up $0.350

Mar 19 Feeder Cattle are at $142.925, unch,

Apr 19 Feeder Cattle are at $144.400, up $0.175

--provided by Brugler Marketing & Management

Corn Market News and Commentary

Corn futures are showing fractional to 1 cent gains in most contracts on Friday. Higher ethanol prices at midday are supporting the market. The markets will be closed on Monday for Martin Luther King Jr. Day, as the government shutdown is now in day 28. The BAGE indicated that 86.1% of Argentina’s corn crop is planted, behind the 91.2% average. Conditions of the emerged crop are 55.3% gd/ex, which is well above the same time last year. Brazil’s first corn crop harvest is estimated at 1% complete according to AgRural.

Mar 19 Corn is at $3.80 3/4, up 3/4 cent,

May 19 Corn is at $3.89, up 1 cent,

Jul 19 Corn is at $3.96 1/2, up 1 cent

Sep 19 Corn is at $3.99, up 1/2 cent

--provided by Brugler Marketing & Management

Lean Hogs Market News and Commentary

Lean Hog futures are showing $1.075 to $2.50 gains on Friday. The CME Lean Hog Index was up 16 cents from the previous day @ $58.18 on January 16. The USDA pork carcass cutout value was down 51 cents on Friday morning at an average weighted price of $69.59. The national base cash hog carcass value was 23 cents higher in the AM report, with a weighted average of $51.63. FI hog slaughter WTD was estimated at 1.896 million head through Thursday, which is 188,000 larger than the same week last year.

Feb 19 Hogs are at $61.925, up $1.075,

Apr 19 Hogs are at $67.125, up $2.500

May 19 Hogs are at $72.925, up $2.300

--provided by Brugler Marketing & Management

Cotton Market News and Commentary

Cotton futures are trading 5 to 28 points lower in the front months on Friday, with a higher dollar at midday. Traders are taking profits ahead of the long weekend. The markets will be closed on Monday in observance of Martin Luther King Jr. day. The Cotlook A Index was up 100 points on January 17 to 82.90 cents/lb. USDA’s showed that 14.949 million bales of upland cotton have been classed as of January 17, with the total including Pima at 15.545 million bales. Estimated AWP was 63.06 last week, and computes to 64.07 for the coming week.

Mar 19 Cotton is at 74.13, down 24 points,

May 19 Cotton is at 75.55, down 11 points

Jul 19 Cotton is at 76.74, down 5 points

--provided by Brugler Marketing & Management

Soybeans Market News and Commentary

Soybean futures are showing follow through buying at midday, with most contracts 7 to 8 1/4 cents higher. Soymeal futures are up $2.80/ton, with soy oil 21 points higher. Chatter out today shows China has offered to increase annual imports by $1 trillion over the next 6 years to reduce the trade surplus. Rumors on Thursday suggested that the US was considering lifting some or all of the tariffs on Chinese imports. We regard these as trial balloons for the next negotiating round at the end of the month. AgRural estimates that the Brazilian soybean harvest is 6.1% complete, compared to 0.8% this time last year.

Mar 19 Soybeans are at $9.16, up 8 1/4 cents,

May 19 Soybeans are at $9.29 1/4, up 8 1/4 cents,

Jul 19 Soybeans are at $9.41 3/4, up 7 3/4 cents,

Aug 19 Soybeans are at $9.46 3/4, up 7 3/4 cents,

Mar 19 Soybean Meal is at $315.00, up $2.80

Mar 19 Soybean Oil is at $28.98, up $0.21

--provided by Brugler Marketing & Management

Cattle Market News and Commentary

Live cattle futures closed the Thursday session with most contracts 60 to 85 cents lower. Feeder cattle futures were down 72.5 cents to $2.35 in most contracts. The CME feeder cattle index was down $1.10 on January 16 at $143.09. Wholesale boxed beef prices were higher on Thursday afternoon. Choice boxes were up 57 cents at $212.50, with Select up 70 cents at $207.64. USDA estimated week to date FI cattle slaughter at 480,000 head through Thursday. That is 3,000 head above last week and 13,000 head larger than the same week last year. Cash trade so far this week has been limited with bids of $197 in NE vs. asks of $202-203.

Corn Market News and Commentary

Corn futures are currently 1 cent per bushel higher after posting 4 to 6 cent gains in the nearby contracts on Thursday. The buying was short covering, with preliminary open interest dropping 6,689 contracts. DTN’s national corn index was at $3.42 on Wednesday evening, 22 1/4 cents above last year. That put national basis at -32 cents, just 1/4 cent weaker than the same time in 2018. Export demand has been better this MY, but weaker ethanol margins have a negative impact on local basis. South Korean feed importers purchased another 129,000 MT of optional origin corn in separate private purchases on Thursday. The BAGE indicated that 86.1% of Argentina’s corn crop is planted, behind the 91.2% average. Conditions of the emerged crop are 55.3% gd/ex, which is well above the same time last year.

--provided by Brugler Marketing & Management

Lean Hogs Market News and Commentary

Lean Hog futures were 20 to 45 cents lower in most contracts on Thursday, with nearby Feb up 80 cents. The CME Lean Hog Index was up 37 cents from the previous day @ $58.02 on January 15. The USDA pork carcass cutout value was up 46 cents on Thursday afternoon at an average weighted price of $70.10. The national base cash hog carcass value was 33 cents lower in the PM report, with a weighted average of $51.44. FI hog slaughter WTD was estimated at 1.896 million head through Thursday, which is 188,000 larger than the same week last year.

--provided by Brugler Marketing & Management

Soybeans Market News and Commentary

Soybean futures are trading 4 to 5 cents higher at the moment. They closed 11 to 13 1/4 cents higher on Thursday. There was some modest net new buying focused in the May contract on Thursday, with short covering in March and July. Soymeal futures were up $2.10/ton, with soy oil 54 points higher. Support came from rumors that the US was considering lifting some or all of the tariffs on Chinese imports. At this point those are just rumors and were denied by Treasury. On Wednesday afternoon, the national soybean cash index was at $8.03 per DTN data, down 96 1/2 cents yr/yr. That put the national average basis at -91 1/2 March, 23 cents weaker than a year ago. The Buenos Aires Grain Exchange estimated that 38.9% of the Argentine soybean crop is blooming (avg 45.7%) as they also cut planted acreage by 494,000 acres to 43.74 million acres due to flooding. They also rated the crop at 51.2% gd/ex, compared to last year’s drought influenced conditions of 35% for this week.

--provided by Brugler Marketing & Management

Cotton Market News and Commentary

Cotton futures are trading 18 to 24 points higher this morning. They ended Thursday with most nearby contracts 108 to 112 points higher. Support came from rumors that the US was considering lifting some tariffs on Chinese imports. Those rumors were not confirmed by the USTR or Treasury. The dollar is slightly weaker. The Cotlook A Index was down 55 points on January 16 to 81.90 cents/lb. With the government now in day 27 of the shutdown, we still don’t have a good grip on how exports have been performing over the past month. Estimated AWP was 63.06 last week, and computes to 64.07 for the coming week.

--provided by Brugler Marketing & Management

Wheat Market News and Commentary

Wheat futures are mostly 2 to 3 cents higher this morning in the winter wheat contracts. MPLS spring wheat is hovering around UNCH. They posted 5 to 8 1/2 cent gains in most contracts on Thursday, following the rest of the grain complex. Japan purchased 111,961 MT of wheat in their weekly MOA tender from Australia, Canada, and the US, with 52,971 MT US specific. Strategie Grains trimmed their 19/20 EU soft wheat production estimate by 0.6 to 146.4 MMT. That would be 15.18% larger than the 18/19 crop of 127.1 MMT. There is also a little talk about potential winter kill on winter wheat, but percentage of the crop with snow cover and the actual low temps observed on bare fields will be the determinants. It also tends to be difficult to prove until the spring green up.

--provided by Brugler Marketing & Management

Ag Market Commentary

Corn futures are currently 1 cent per bushel higher after posting 4 to 6 cent gains in the nearby contracts on Thursday. The buying was short covering, with preliminary open interest dropping 6,689 contracts. DTN’s national corn index was at $3.42 on Wednesday evening, 22 1/4 cents above last year. That put national basis at -32 cents, just 1/4 cent weaker than the same time in 2018. Export demand has been better this MY, but weaker ethanol margins have a negative impact on local basis. South Korean feed importers purchased another 129,000 MT of optional origin corn in separate private purchases on Thursday. The BAGE indicated that 86.1% of Argentina’s corn crop is planted, behind the 91.2% average. Conditions of the emerged crop are 55.3% gd/ex, which is well above the same time last year.

--provided by Brugler Marketing & Management



Soybean futures are trading 4 to 5 cents higher at the moment. They closed 11 to 13 1/4 cents higher on Thursday. There was some modest net new buying focused in the May contract on Thursday, with short covering in March and July. Soymeal futures were up $2.10/ton, with soy oil 54 points higher. Support came from rumors that the US was considering lifting some or all of the tariffs on Chinese imports. At this point those are just rumors and were denied by Treasury. On Wednesday afternoon, the national soybean cash index was at $8.03 per DTN data, down 96 1/2 cents yr/yr. That put the national average basis at -91 1/2 March, 23 cents weaker than a year ago. The Buenos Aires Grain Exchange estimated that 38.9% of the Argentine soybean crop is blooming (avg 45.7%) as they also cut planted acreage by 494,000 acres to 43.74 million acres due to flooding. They also rated the crop at 51.2% gd/ex, compared to last year’s drought influenced conditions of 35% for this week.

--provided by Brugler Marketing & Management



Wheat futures are mostly 2 to 3 cents higher this morning in the winter wheat contracts. MPLS spring wheat is hovering around UNCH. They posted 5 to 8 1/2 cent gains in most contracts on Thursday, following the rest of the grain complex. Japan purchased 111,961 MT of wheat in their weekly MOA tender from Australia, Canada, and the US, with 52,971 MT US specific. Strategie Grains trimmed their 19/20 EU soft wheat production estimate by 0.6 to 146.4 MMT. That would be 15.18% larger than the 18/19 crop of 127.1 MMT. There is also a little talk about potential winter kill on winter wheat, but percentage of the crop with snow cover and the actual low temps observed on bare fields will be the determinants. It also tends to be difficult to prove until the spring green up.

--provided by Brugler Marketing & Management



Live cattle futures closed the Thursday session with most contracts 60 to 85 cents lower. Feeder cattle futures were down 72.5 cents to $2.35 in most contracts. The CME feeder cattle index was down $1.10 on January 16 at $143.09. Wholesale boxed beef prices were higher on Thursday afternoon. Choice boxes were up 57 cents at $212.50, with Select up 70 cents at $207.64. USDA estimated week to date FI cattle slaughter at 480,000 head through Thursday. That is 3,000 head above last week and 13,000 head larger than the same week last year. Cash trade so far this week has been limited with bids of $197 in NE vs. asks of $202-203.



Lean Hog futures were 20 to 45 cents lower in most contracts on Thursday, with nearby Feb up 80 cents. The CME Lean Hog Index was up 37 cents from the previous day @ $58.02 on January 15. The USDA pork carcass cutout value was up 46 cents on Thursday afternoon at an average weighted price of $70.10. The national base cash hog carcass value was 33 cents lower in the PM report, with a weighted average of $51.44. FI hog slaughter WTD was estimated at 1.896 million head through Thursday, which is 188,000 larger than the same week last year.

--provided by Brugler Marketing & Management



Cotton futures are trading 18 to 24 points higher this morning. They ended Thursday with most nearby contracts 108 to 112 points higher. Support came from rumors that the US was considering lifting some tariffs on Chinese imports. Those rumors were not confirmed by the USTR or Treasury. The dollar is slightly weaker. The Cotlook A Index was down 55 points on January 16 to 81.90 cents/lb. With the government now in day 27 of the shutdown, we still don’t have a good grip on how exports have been performing over the past month. Estimated AWP was 63.06 last week, and computes to 64.07 for the coming week.

--provided by Brugler Marketing & Management



Wheat Market News and Commentary

Wheat futures posted 5 to 8 1/2 cent gains in most contracts on Thursday, following the rest of the grain complex. Japan purchased 111,961 MT of wheat in their weekly MOA tender from Australia, Canada, and the US, with 52,971 MT US specific. Strategie Grans trimmed their 19/20 EU soft wheat production estimate by 0.6 to 146.4 MMT. That would be 15.18% larger than the 18/19 crop of 127.1 MMT. There is also a little talk about potential winter kill on winter wheat, but percentage of the crop with snow cover and the actual low temps observed on bare fields will be the determinants. It also tends to be difficult to prove until the spring green up.

Mar 19 CBOT Wheat closed at $5.17 3/4, up 5 1/4 cents,

Mar 19 KCBT Wheat closed at $5.04, up 8 1/2 cents,

Mar 19 MGEX Wheat closed at $5.72, up 7 cents

--provided by Brugler Marketing & Management

Ag Market Commentary

Corn futures posted 4 to 6 cent gains in the nearby contracts on Thursday. DTN’s national corn index was at $3.42 on Wednesday evening, 22 1/4 cents above last year. That put national basis at -32 cents, just 1/4 cent weaker than the same time in 2018. Export demand has been better this MY, but weaker ethanol margins have a negative impact on basis. South Korean feed importers purchased another 129,000 MT of optional origin corn in separate private purchases on Thursday. BAGE indicated that 86.1% of Argentina’s corn crop is planted, behind the 91.2% average. Conditions of the emerged crop are 55.3% gd/ex, which is well above the same time last year.

Mar 19 Corn closed at $3.80, up 6 cents,

May 19 Corn closed at $3.88, up 5 3/4 cents,

Jul 19 Corn closed at $3.95 1/2, up 5 1/2 cents

Sep 19 Corn closed at $3.98 1/2, up 4 3/4 cents

--provided by Brugler Marketing & Management



Soybean futures found strength after midday with most contracts closing 11 to 13 1/4 cents higher. Soymeal futures were up $2.10/ton, with soy oil 54 points higher. Support came from rumors that US Treasury Sec Mnuchin is contemplating lifting some or all of the tariffs on Chinese imports ahead of next week’s meeting. At this point those are just rumors and were denied by Treasury. On Wednesday afternoon, the national soybean cash index was at $8.03 per DTN data, down 96 1/2 cents yr/yr. Against the newly appointed front month March, that put basis at -91 1/2 cents, 23 cents weaker than a year ago. The Buenos Aires Grain Exchange estimates that 38.9% of the Argentine soybean crop is blooming (avg 45.7%) as they cut planted acreage by 494,000 acres to 43.74 million acres. They also rated the crop at 51.2% gd/ex, compared to last year’s conditions of 35% for this week.

Mar 19 Soybeans closed at $9.07 3/4, up 13 1/4 cents,

May 19 Soybeans closed at $9.21, up 13 cents,

Jul 19 Soybeans closed at $9.34, up 13 1/4 cents,

Sep 19 Soybeans closed at $9.41, up 11 1/2 cents,

Mar 19 Soybean Meal closed at $312.20, up $2.10,

Mar 19 Soybean Oil closed at $28.77, up $0.54

--provided by Brugler Marketing & Management



Wheat futures posted 5 to 8 1/2 cent gains in most contracts on Thursday, following the rest of the grain complex. Japan purchased 111,961 MT of wheat in their weekly MOA tender from Australia, Canada, and the US, with 52,971 MT US specific. Strategie Grans trimmed their 19/20 EU soft wheat production estimate by 0.6 to 146.4 MMT. That would be 15.18% larger than the 18/19 crop of 127.1 MMT. There is also a little talk about potential winter kill on winter wheat, but percentage of the crop with snow cover and the actual low temps observed on bare fields will be the determinants. It also tends to be difficult to prove until the spring green up.

Mar 19 CBOT Wheat closed at $5.17 3/4, up 5 1/4 cents,

Mar 19 KCBT Wheat closed at $5.04, up 8 1/2 cents,

Mar 19 MGEX Wheat closed at $5.72, up 7 cents

--provided by Brugler Marketing & Management



Live cattle futures closed the Thursday session with most contracts 60 to 85 cents lower. Feeder cattle futures were down 72.5 cents to $2.35 in most contracts. The CME feeder cattle index was down $1.10 on January 16 at $143.09. Wholesale boxed beef prices were higher on Thursday afternoon. Choice boxes were up 57 cents at $212.50, with Select up 70 cents at $207.64. USDA estimated week to date FI cattle slaughter at 480,000 head through Thursday. That is 3,000 head above last week and 13,000 head larger than the same week last year. Cash trade so far this week has been limited with bids of $197 in NE vs. asks of $202-203.

Feb 19 Cattle closed at $127.100, down $0.725,

Apr 19 Cattle closed at $126.900, down $0.825,

Jun 19 Cattle closed at $116.825, down $0.675,

Jan 19 Feeder Cattle closed at $141.425, down $2.350

Mar 19 Feeder Cattle closed at $142.925, down $1.775

Apr 19 Feeder Cattle closed at $144.225, down $1.325

--provided by Brugler Marketing & Management



Lean Hog futures were 20 to 45 cents lower in most contracts on Thursday, with nearby Feb up 80 cents. The CME Lean Hog Index was up 37 cents from the previous day @ $58.02 on January 15. The USDA pork carcass cutout value was up 46 cents on Thursday afternoon at an average weighted price of $70.10. The national base cash hog carcass value was 33 cents lower in the PM report, with a weighted average of $51.44. FI hog slaughter WTD was estimated at 1.896 million head through Thursday, which is 188,000 larger than the same week last year.

Feb 19 Hogs closed at $60.850, up $0.800,

Apr 19 Hogs closed at $64.625, down $0.450

May 19 Hogs closed at $70.625, down $0.200

--provided by Brugler Marketing & Management



Cotton futures ended Thursday with most nearby contracts 108 to 112 points higher. Support was from suspected short covering as rumors were floating around that the US considering lifting some Chinese import tariffs. Those rumors were not confirmed by the USTR or Treasury. The Cotlook A Index was down 55 points on January 16 to 81.90 cents/lb. With the government now in day 27 of the shutdown, we still don’t have a good grip on how exports have been performing over the past month. Estimated AWP was 63.06 last week, and computes to 64.07 for the coming week.

Mar 19 Cotton closed at 74.370, up 110 points,

May 19 Cotton closed at 75.660, up 112 points

Jul 19 Cotton closed at 76.790, up 108 points

--provided by Brugler Marketing & Management



Cattle Market News and Commentary

Live cattle futures closed the Thursday session with most contracts 60 to 85 cents lower. Feeder cattle futures were down 72.5 cents to $2.35 in most contracts. The CME feeder cattle index was down $1.10 on January 16 at $143.09. Wholesale boxed beef prices were higher on Thursday afternoon. Choice boxes were up 57 cents at $212.50, with Select up 70 cents at $207.64. USDA estimated week to date FI cattle slaughter at 480,000 head through Thursday. That is 3,000 head above last week and 13,000 head larger than the same week last year. Cash trade so far this week has been limited with bids of $197 in NE vs. asks of $202-203.

Feb 19 Cattle closed at $127.100, down $0.725,

Apr 19 Cattle closed at $126.900, down $0.825,

Jun 19 Cattle closed at $116.825, down $0.675,

Jan 19 Feeder Cattle closed at $141.425, down $2.350

Mar 19 Feeder Cattle closed at $142.925, down $1.775

Apr 19 Feeder Cattle closed at $144.225, down $1.325

--provided by Brugler Marketing & Management

Corn Market News and Commentary

Corn futures posted 4 to 6 cent gains in the nearby contracts on Thursday. DTN’s national corn index was at $3.42 on Wednesday evening, 22 1/4 cents above last year. That put national basis at -32 cents, just 1/4 cent weaker than the same time in 2018. Export demand has been better this MY, but weaker ethanol margins have a negative impact on basis. South Korean feed importers purchased another 129,000 MT of optional origin corn in separate private purchases on Thursday. BAGE indicated that 86.1% of Argentina’s corn crop is planted, behind the 91.2% average. Conditions of the emerged crop are 55.3% gd/ex, which is well above the same time last year.

Mar 19 Corn closed at $3.80, up 6 cents,

May 19 Corn closed at $3.88, up 5 3/4 cents,

Jul 19 Corn closed at $3.95 1/2, up 5 1/2 cents

Sep 19 Corn closed at $3.98 1/2, up 4 3/4 cents

--provided by Brugler Marketing & Management

Lean Hogs Market News and Commentary

Lean Hog futures were 20 to 45 cents lower in most contracts on Thursday, with nearby Feb up 80 cents. The CME Lean Hog Index was up 37 cents from the previous day @ $58.02 on January 15. The USDA pork carcass cutout value was up 46 cents on Thursday afternoon at an average weighted price of $70.10. The national base cash hog carcass value was 33 cents lower in the PM report, with a weighted average of $51.44. FI hog slaughter WTD was estimated at 1.896 million head through Thursday, which is 188,000 larger than the same week last year.

Feb 19 Hogs closed at $60.850, up $0.800,

Apr 19 Hogs closed at $64.625, down $0.450

May 19 Hogs closed at $70.625, down $0.200

--provided by Brugler Marketing & Management

Cotton Market News and Commentary

Cotton futures ended Thursday with most nearby contracts 108 to 112 points higher. Support was from suspected short covering as rumors were floating around that the US considering lifting some Chinese import tariffs. Those rumors were not confirmed by the USTR or Treasury. The Cotlook A Index was down 55 points on January 16 to 81.90 cents/lb. With the government now in day 27 of the shutdown, we still don’t have a good grip on how exports have been performing over the past month. Estimated AWP was 63.06 last week, and computes to 64.07 for the coming week.

Mar 19 Cotton closed at 74.370, up 110 points,

May 19 Cotton closed at 75.660, up 112 points

Jul 19 Cotton closed at 76.790, up 108 points

--provided by Brugler Marketing & Management

Soybeans Market News and Commentary

Soybean futures found strength after midday with most contracts closing 11 to 13 1/4 cents higher. Soymeal futures were up $2.10/ton, with soy oil 54 points higher. Support came from rumors that US Treasury Sec Mnuchin is contemplating lifting some or all of the tariffs on Chinese imports ahead of next week’s meeting. At this point those are just rumors and were denied by Treasury. On Wednesday afternoon, the national soybean cash index was at $8.03 per DTN data, down 96 1/2 cents yr/yr. Against the newly appointed front month March, that put basis at -91 1/2 cents, 23 cents weaker than a year ago. The Buenos Aires Grain Exchange estimates that 38.9% of the Argentine soybean crop is blooming (avg 45.7%) as they cut planted acreage by 494,000 acres to 43.74 million acres. They also rated the crop at 51.2% gd/ex, compared to last year’s conditions of 35% for this week.

Mar 19 Soybeans closed at $9.07 3/4, up 13 1/4 cents,

May 19 Soybeans closed at $9.21, up 13 cents,

Jul 19 Soybeans closed at $9.34, up 13 1/4 cents,

Sep 19 Soybeans closed at $9.41, up 11 1/2 cents,

Mar 19 Soybean Meal closed at $312.20, up $2.10,

Mar 19 Soybean Oil closed at $28.77, up $0.54

--provided by Brugler Marketing & Management

Wheat Market News and Commentary

Wheat futures are posting 5 to 10 1/2 cent gains in most contracts at Thursday’s midday, with KC HRW leading the way. Japan purchased 111,961 MT of wheat in their weekly MOA tender from Australia, Canada, and the US, with 52,971 MT US specific. Strategie Grans trimmed their 19/20 EU soft wheat production estimate by 0.6 to 146.4 MMT. That would be 15.18% larger than the 18/19 crop of 127.1 MMT.

Mar 19 CBOT Wheat is at $5.20 1/4, up 7 3/4 cents,

Mar 19 KCBT Wheat is at $5.06, up 10 1/2 cents,

Mar 19 MGEX Wheat is at $5.71 1/4, up 6 1/4 cents

--provided by Brugler Marketing & Management

Cattle Market News and Commentary

Live cattle futures are down 80 cents to $1.375 at midday. Feeder cattle futures are trading $1.05 to $2.425 in negative territory on the day. The CME feeder cattle index was down 25 cents on January 15 at $144.19. Wholesale boxed beef prices were higher on Thursday morning. Choice boxes were up 61 cents at $212.54, with Select up $1.00 at $207.94. USDA estimated week to date FI cattle slaughter at 359,000 head through Wednesday. That is 2,000 head above last week and 11,000 head larger than the same week last year. Cash trade so far is week has been quiet, with few reported bids on Thursday thus far ($197 in NE vs. asks of $202-203).

Feb 19 Cattle are at $126.450, down $1.375,

Apr 19 Cattle are at $126.350, down $1.375,

Jun 19 Cattle are at $116.450, down $1.050,

Jan 19 Feeder Cattle are at $141.350, down $2.425

Mar 19 Feeder Cattle are at $142.650, down $2.050

Apr 19 Feeder Cattle are at $143.875, down $1.675

--provided by Brugler Marketing & Management

Corn Market News and Commentary

Corn futures are trading 4 to 5 3/4 cents higher in the nearby contracts on Thursday. DTN’s national corn index was at $3.42 on Wednesday evening, 22 1/4 cents above last year. That put national basis at -32 cents, just 1/4 cent weaker than the same time in 2018. Export demand has been better this MY, but weaker ethanol margins have a negative impact on basis. South Korean feed importers purchased another 129,000 MT of optional origin corn in separate private purchases on Thursday. Chinese officials noted stronger than expected government auction sales in 2018 and suggested that the oldest corn in their inventory would all be gone by the end of 2019.

Mar 19 Corn is at $3.79 3/4, up 5 3/4 cents,

May 19 Corn is at $3.87 3/4, up 5 1/2 cents,

Jul 19 Corn is at $3.95 1/4, up 5 1/4 cents

Sep 19 Corn is at $3.98 1/2, up 4 3/4 cents

--provided by Brugler Marketing & Management

Lean Hogs Market News and Commentary

Lean Hog futures are mixed at midday, with nearby Feb up 85 cents and other contracts steady to 25 cents lower. The CME Lean Hog Index was up 37 cents from the previous day @ $58.02 on January 15. The USDA pork carcass cutout value was up 90 cents on Thursday morning at an average weighted price of $70.54. The national base cash hog carcass value was not reported this AM due to confidentiality reasons, with a 5-day rolling average of $51.47. FI hog slaughter WTD was estimated at 1.423 million head through Wednesday, which is 140,000 larger than the same week last year. China’s Ag Ministry reported yesterday that their hog herd was down 4.8% in Dec vs. last year, with sow numbers a sharp 8.3% lower. They are encouraging larger producers to re-stock, anticipating a sharp rise in pork prices, but movement limitations are still in effect.

Feb 19 Hogs are at $60.900, up $0.850,

Apr 19 Hogs are at $64.825, down $0.250

May 19 Hogs are at $70.575, down $0.250

--provided by Brugler Marketing & Management

Soybeans Market News and Commentary

Soybean futures are up 10 to 10 3/4 cents at midday. Soymeal futures are up $3.30/ton, with soy oil 28 points higher. On Wednesday afternoon, the national soybean cash index was at $8.03 per DTN data, down 96 1/2 cents yr/yr. Against the newly appointed front month March, that put basis at -91 1/2 cents, 23 cents weaker than a year ago. Imea estimates that Mato Grosso soy harvest is 5.6% completed. Parana is about 10% done vs. 5% last week and none in 2018. USDA is/was using 2017 as an analog year because of a similar planting pace.

Mar 19 Soybeans are at $9.05 1/4, up 10 3/4 cents,

May 19 Soybeans are at $9.18 1/2, up 10 1/2 cents,

Jul 19 Soybeans are at $9.31 1/4, up 10 1/2 cents,

Aug 19 Soybeans are at $9.36 1/4, up 10 1/4 cents,

Mar 19 Soybean Meal is at $313.40, up $3.30

Mar 19 Soybean Oil is at $28.51, up $0.28

--provided by Brugler Marketing & Management

Cotton Market News and Commentary

Cotton futures are showing 83 to 95 point gains in most contracts so far on Thursday. Bargain buying is helping to prop up the market, as March is trying to break out of the 250 point trade range since early January. The Cotlook A Index was down 55 points on January 16 to 81.90 cents/lb. With the government now in day 27 of the shutdown, we still don’t have a good grip on how exports have been performing over the past month. Estimated AWP was 63.06 last week, and computes to 64.07 for the coming week.

Mar 19 Cotton is at 74.19, up 92 points,

May 19 Cotton is at 75.49, up 95 points

Jul 19 Cotton is at 76.58, up 87 points

--provided by Brugler Marketing & Management

Ag Market Commentary

Corn futures are trading 4 to 5 3/4 cents higher in the nearby contracts on Thursday. DTN’s national corn index was at $3.42 on Wednesday evening, 22 1/4 cents above last year. That put national basis at -32 cents, just 1/4 cent weaker than the same time in 2018. Export demand has been better this MY, but weaker ethanol margins have a negative impact on basis. South Korean feed importers purchased another 129,000 MT of optional origin corn in separate private purchases on Thursday. Chinese officials noted stronger than expected government auction sales in 2018 and suggested that the oldest corn in their inventory would all be gone by the end of 2019.

Mar 19 Corn is at $3.79 3/4, up 5 3/4 cents,

May 19 Corn is at $3.87 3/4, up 5 1/2 cents,

Jul 19 Corn is at $3.95 1/4, up 5 1/4 cents

Sep 19 Corn is at $3.98 1/2, up 4 3/4 cents

--provided by Brugler Marketing & Management



Soybean futures are up 10 to 10 3/4 cents at midday. Soymeal futures are up $3.30/ton, with soy oil 28 points higher. On Wednesday afternoon, the national soybean cash index was at $8.03 per DTN data, down 96 1/2 cents yr/yr. Against the newly appointed front month March, that put basis at -91 1/2 cents, 23 cents weaker than a year ago. Imea estimates that Mato Grosso soy harvest is 5.6% completed. Parana is about 10% done vs. 5% last week and none in 2018. USDA is/was using 2017 as an analog year because of a similar planting pace.

Mar 19 Soybeans are at $9.05 1/4, up 10 3/4 cents,

May 19 Soybeans are at $9.18 1/2, up 10 1/2 cents,

Jul 19 Soybeans are at $9.31 1/4, up 10 1/2 cents,

Aug 19 Soybeans are at $9.36 1/4, up 10 1/4 cents,

Mar 19 Soybean Meal is at $313.40, up $3.30

Mar 19 Soybean Oil is at $28.51, up $0.28

--provided by Brugler Marketing & Management



Wheat futures are posting 5 to 10 1/2 cent gains in most contracts at Thursday’s midday, with KC HRW leading the way. Japan purchased 111,961 MT of wheat in their weekly MOA tender from Australia, Canada, and the US, with 52,971 MT US specific. Strategie Grans trimmed their 19/20 EU soft wheat production estimate by 0.6 to 146.4 MMT. That would be 15.18% larger than the 18/19 crop of 127.1 MMT.

Mar 19 CBOT Wheat is at $5.20 1/4, up 7 3/4 cents,

Mar 19 KCBT Wheat is at $5.06, up 10 1/2 cents,

Mar 19 MGEX Wheat is at $5.71 1/4, up 6 1/4 cents

--provided by Brugler Marketing & Management



Live cattle futures are down 80 cents to $1.375 at midday. Feeder cattle futures are trading $1.05 to $2.425 in negative territory on the day. The CME feeder cattle index was down 25 cents on January 15 at $144.19. Wholesale boxed beef prices were higher on Thursday morning. Choice boxes were up 61 cents at $212.54, with Select up $1.00 at $207.94. USDA estimated week to date FI cattle slaughter at 359,000 head through Wednesday. That is 2,000 head above last week and 11,000 head larger than the same week last year. Cash trade so far is week has been quiet, with few reported bids on Thursday thus far ($197 in NE vs. asks of $202-203).

Feb 19 Cattle are at $126.450, down $1.375,

Apr 19 Cattle are at $126.350, down $1.375,

Jun 19 Cattle are at $116.450, down $1.050,

Jan 19 Feeder Cattle are at $141.350, down $2.425

Mar 19 Feeder Cattle are at $142.650, down $2.050

Apr 19 Feeder Cattle are at $143.875, down $1.675

--provided by Brugler Marketing & Management



Lean Hog futures are mixed at midday, with nearby Feb up 85 cents and other contracts steady to 25 cents lower. The CME Lean Hog Index was up 37 cents from the previous day @ $58.02 on January 15. The USDA pork carcass cutout value was up 90 cents on Thursday morning at an average weighted price of $70.54. The national base cash hog carcass value was not reported this AM due to confidentiality reasons, with a 5-day rolling average of $51.47. FI hog slaughter WTD was estimated at 1.423 million head through Wednesday, which is 140,000 larger than the same week last year. China’s Ag Ministry reported yesterday that their hog herd was down 4.8% in Dec vs. last year, with sow numbers a sharp 8.3% lower. They are encouraging larger producers to re-stock, anticipating a sharp rise in pork prices, but movement limitations are still in effect.

Feb 19 Hogs are at $60.900, up $0.850,

Apr 19 Hogs are at $64.825, down $0.250

May 19 Hogs are at $70.575, down $0.250

--provided by Brugler Marketing & Management



Cotton futures are showing 83 to 95 point gains in most contracts so far on Thursday. Bargain buying is helping to prop up the market, as March is trying to break out of the 250 point trade range since early January. The Cotlook A Index was down 55 points on January 16 to 81.90 cents/lb. With the government now in day 27 of the shutdown, we still don’t have a good grip on how exports have been performing over the past month. Estimated AWP was 63.06 last week, and computes to 64.07 for the coming week.

Mar 19 Cotton is at 74.19, up 92 points,

May 19 Cotton is at 75.49, up 95 points

Jul 19 Cotton is at 76.58, up 87 points

--provided by Brugler Marketing & Management



Ag Market Commentary

Corn futures are trading fractionally higher this morning. They ended the Wednesday session with most contracts 2 to 2 3/4 cents higher. Weekly EIA ethanol production averaged 1.051 million barrels per day. That was up 51,000 bpd from the week prior and was the largest weekly production (and corn use) since the last week of November. Corn use for ethanol in 2018/19 likely topped the 2 billion bushel mark last week. Stocks were also up 97,000 barrels at 23.351 million barrels. Several South Korean importers purchased a total of 260,000 MT of optional origin corn on Wednesday. Chinese officials noted stronger than expected government auction sales in 2018 and suggested that the oldest corn in their inventory would all be gone by the end of 2019.

--provided by Brugler Marketing & Management



Soybean futures are currently 3 cents higher after seeing fractional to 1 1/4 cent gains in most contracts on Wednesday. Soymeal futures were up 80 cents/ton, with soy oil 1 point lower. Weakness in the meal has put downward pressure on product value and forced soybeans lower to keep crush spreads attractive. Celeres is the latest Brazilian firm to cut their country’s soybean production estimate, down 4.9 MMT to 117.2 MMT. Imea estimates that Mato Grosso soy harvest is 5.6% completed. Parana is about 10% done vs. 5% last week and none in 2018. USDA is/was using 2017 as an analog year but not 2018. USDA Sec. Perdue announced several FSA offices will be open Thursday, Friday, and next Tuesday for assistance with “loans and other limited services.”



Wheat futures are mostly 1 to 3 cents higher this morning. They settled Wednesday with KC contracts steady to fractionally mixed. CBT SRW was up 1 to 2 1/2 cents, with MPLS 2 1/2 to 4 1/2 cents higher. Frigid temps are expected across much of the WCB and Plains this weekend. Northern KS and eastern NE did receive snow cover from last weekend’s storm. With the government still in partial shutdown mode, Export Sales will not be released on Thursday morning. A South Korean feed importer purchased 65,000 MT of optional origin wheat on Wednesday. A Chinese auction of state reserves saw 99,961 MT, or 3.3% of the offered amount, sold on Wednesday.

--provided by Brugler Marketing & Management



Live cattle futures ended the Wednesday session with most contracts 25 to 87.5 cents higher. Feeder cattle futures were mixed, with nearby contracts 5 to 97.5 cents lower and back months higher. The CME feeder cattle index was down 25 cents on January 15 at $144.19. Wholesale boxed beef prices were mixed on Wednesday afternoon. Choice boxes were 31 cents lower at $211.90, with Select up $1.07 at $206.94. USDA estimated week to date FI cattle slaughter at 359,000 head through Wednesday. That is 2,000 head above last week and 11,000 head larger than the same week last year. There were no sales on Wednesday’s FCE, with most asks around $127.

--provided by Brugler Marketing & Management



Lean Hog futures posted 27.5 cent to $2.10 losses in most contracts on Wednesday. The CME Lean Hog Index was up 44 cents from the previous day @ $57.65 on January 14. The USDA pork carcass cutout value was down 69 cents on Wednesday at an average weighted price of $69.64. The national base cash hog carcass value was 26 cents higher in the PM report, with a weighted average of $51.70. FI hog slaughter WTD was estimated at 1.423 million head through Wednesday, which is 140,000 larger than the same week last year. China’s Ag Ministry reported that their hog herd was down 4.8% in Dec vs. last year, with sow numbers a sharp 8.3% lower.

--provided by Brugler Marketing & Management



Cotton futures are trading 89 to 107 points higher this morning adding to gains of 82 to 91 points in most contracts on Wednesday. The Cotlook A Index was up 30 points on January 15 to 82.45 cents/lb. A Cotton Grower survey showed that 13.6 million acres of cotton are intended for 2019, down from 14.05 million last year. Secretary Perdue announced that ~2,500 FSA employees will return to work today, Friday, and next Tuesday (Monday is the MLK holiday) to help with loans in process and other limited items. Only selected office locations will be open on those days so check before trucking over there.

--provided by Brugler Marketing & Management



Wheat Market News and Commentary

Wheat futures are mostly 1 to 3 cents higher this morning. They settled Wednesday with KC contracts steady to fractionally mixed. CBT SRW was up 1 to 2 1/2 cents, with MPLS 2 1/2 to 4 1/2 cents higher. Frigid temps are expected across much of the WCB and Plains this weekend. Northern KS and eastern NE did receive snow cover from last weekend’s storm. With the government still in partial shutdown mode, Export Sales will not be released on Thursday morning. A South Korean feed importer purchased 65,000 MT of optional origin wheat on Wednesday. A Chinese auction of state reserves saw 99,961 MT, or 3.3% of the offered amount, sold on Wednesday.

--provided by Brugler Marketing & Management

Cattle Market News and Commentary

Live cattle futures ended the Wednesday session with most contracts 25 to 87.5 cents higher. Feeder cattle futures were mixed, with nearby contracts 5 to 97.5 cents lower and back months higher. The CME feeder cattle index was down 25 cents on January 15 at $144.19. Wholesale boxed beef prices were mixed on Wednesday afternoon. Choice boxes were 31 cents lower at $211.90, with Select up $1.07 at $206.94. USDA estimated week to date FI cattle slaughter at 359,000 head through Wednesday. That is 2,000 head above last week and 11,000 head larger than the same week last year. There were no sales on Wednesday’s FCE, with most asks around $127.

--provided by Brugler Marketing & Management

Corn Market News and Commentary

Corn futures are trading fractionally higher this morning. They ended the Wednesday session with most contracts 2 to 2 3/4 cents higher. Weekly EIA ethanol production averaged 1.051 million barrels per day. That was up 51,000 bpd from the week prior and was the largest weekly production (and corn use) since the last week of November. Corn use for ethanol in 2018/19 likely topped the 2 billion bushel mark last week. Stocks were also up 97,000 barrels at 23.351 million barrels. Several South Korean importers purchased a total of 260,000 MT of optional origin corn on Wednesday. Chinese officials noted stronger than expected government auction sales in 2018 and suggested that the oldest corn in their inventory would all be gone by the end of 2019.

--provided by Brugler Marketing & Management

Lean Hogs Market News and Commentary

Lean Hog futures posted 27.5 cent to $2.10 losses in most contracts on Wednesday. The CME Lean Hog Index was up 44 cents from the previous day @ $57.65 on January 14. The USDA pork carcass cutout value was down 69 cents on Wednesday at an average weighted price of $69.64. The national base cash hog carcass value was 26 cents higher in the PM report, with a weighted average of $51.70. FI hog slaughter WTD was estimated at 1.423 million head through Wednesday, which is 140,000 larger than the same week last year. China’s Ag Ministry reported that their hog herd was down 4.8% in Dec vs. last year, with sow numbers a sharp 8.3% lower.

--provided by Brugler Marketing & Management