DTN Early Word Grains 11/17 05:55
Green Commodities, Red Dollar
December corn was 1 cent higher, January soybeans were 3 cents higher, and December Kansas City (HRW) wheat was 2 cents higher.
By Darin Newsom DTN Senior Analyst
6:00 a.m. CME Globex: December corn was 1 cent higher, January soybeans were 3 cents higher, and December Kansas City (HRW) wheat was 2 cents higher.
CME Globex Recap: The grain and oilseed complex, like much of the rest of the larger commodity complex, was showing green early Friday morning. Soybeans and corn were generally limited to erasing Thursday's sell-off, while wheat tried to build on the previous day's small rally. Softs, energies, and metals were also showing gains, mostly, with light support possibly tied to the lower U.S. dollar index. Also, DJIA futures were lower again as the Big Board is expected to continue its volatile ways Friday.
OUTSIDE MARKETS: The Dow Jones Industrial Average closed 187.08 points (0.8%) higher at 23,458.36, the NASDAQ Composite gained 87.08 points (1.3%) to 6,793.29, and the S&P 500 rallied 21.02 points (0.8%) to 2,585.64 Thursday. DJIA futures were 26 points lower early Friday morning. Asian markets closed mostly higher with Japan's Nikkei 225 up 45.68 points (0.2%), Hong Kong's Hang Seng gaining 180.28 points (0.6%), and China's Shanghai Composite down 16.34 points (0.5%). European markets were trading mixed with London's FTSE 100 off 12.94 points (0.2%), Germany's DAX rallying 6.37 points, and France's CAC 40 adding 4.33 points (0.1%). The euro was 0.0032 higher at 1.1803 while the U.S. dollar index lost 0.22 to 93.69. December 30-year T-Bonds were 1/32 higher at 153'19 while December gold gained $5.20 to $1,283.40. Crude oil was $0.79 higher at $55.93 while Brent crude added $0.55 to $61.91. China's Dalian soybean futures were near unchanged and Malaysian palm oil futures were lower overnight.
DTN Midday Grain Comments 11/17 11:40
Corn, Beans Higher at Midday; Wheat Mixed
Row crops are firmer at midday, wheat mixed.
By David Fiala DTN Contributing Analyst
The U.S. stock market is lower at midday with the Dow down 90 points. The interest rate products are mostly higher. The dollar index is 15 points lower. Energies are higher with crude 1.20 higher. Livestock trade is mixed with hogs leading. Precious metals are higher with gold up $9.80.
Corn trade is 3 to 5 cents higher at midday with short profit taking ahead of the weekend. We are still down on the week and it appears we will close with a new weekly low so position squaring could give us some volatility near the close this afternoon. Ethanol margins remain at stable with crude staying near the upper end of the range, and ethanol futures higher. Basis and carry has shown further improvement with carry trading below 12 cents this morning. Remain harvest is struggling with poor drying conditions this week, but we are near the end overall. On the December chart support is at the new low at $3.36 1/2. Resistance is at the $3.49 1/2 50-day moving then the $3.58 six-week high.
Soybean trade is 5 to 10 cents higher at midday with trade continuing to consolidate above the $9.76 area this morning. Meal is 4.00 to 5.00 higher, and oil is 15 to 25 points lower. South American weather looks to continue working drier in Argentina in the near term, but major issues remain very limited for now. Export business has been quiet for the bulk of November on the daily wire. On the January chart, trade is trying to close above the 100-day at $9.76 going into the weekend with the September low of $9.60 the next notable support with many chart analysts mentioning the $9.50 level. Trade is testing the 200-day at $9.79 at midday, and a close above the 100 and 200-day going into the weekend would likely encourage some short covering Sunday night.
Wheat trade is mixed with spring wheat flat to 2 cents lower and winter wheat 3 to 5 cents higher at midday. Dryness is a concern, which is limiting downside on the winter wheat contracts, but that hasn't translated into more aggressive buying yet. The Russian ruble weakness recently helps Russian competitiveness on the world market, with business to the Middle East marked by continued steady cash trade. Basis has firmed a bit on the plains in recent days but overall remains wide. On the December Kansas City support is the $4.13 1/2 low, with the 10-day and 20-day at $4.25, as resistance this afternoon.
David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered Advisor. He can be reached at email@example.com Follow him on Twitter @davidfiala
Copyright 2017 DTN/The Progressive Farmer. All rights reserved.
USDA MARKET NEWS--AFTERNOON CATTLE REPORT 11/17/17
VOLUME USDA TOTAL RANGE DTN PRACTICAL RANGE WT AVG KANSAS CONFIRMED CASH SALES - TODAY: 729 WEEK T0 DATE: 20,273 STEERS 487 119.00-119.00 119.00-119.00 119.00 HEIFERS 162 119.00-119.00 119.00-119.00 119.00
NEBRASKA CONFIRMED CASH SALES - TODAY: 1,640 WEEK TO DATE: 40,929 STEERS 333 189.00-189.00 189.00-189.00 189.00 HEIFERS 299 189.00-189.00 189.00-189.00 189.00
TEXAS CONFIRMED CASH SALES - TODAY: 1,281 WEEK TO DATE: 7,338 STEERS 1,003 119.00-119.00 119.00-119.00 119.00 HEIFERS 278 119.00-119.00 119.00-119.00 119.00
COLORADO CONFIRMED CASH SALES - TODAY: 216 WEEK TO DATE: 1,996 STEERS No reportable trade HEIFERS 66 120.50-120.50 120.50-120.50 120.50
IOWA CONFIRMED CASH SALES - TODAY: 2,106 WEEK TO DATE: 22,081 STEERS 115 188.00-188.00 188.00-188.00 188.00 HEIFERS 199 188.00-188.00 188.00-188.00 188.00
COMMENTS: Just a little cleanup trade reported today at mostly steady money.
5-AREA LV STR AVE PR&WT: $118.91(1443) HIDE&OFFAL: $10.40 -0.20 CARCASS EQV INDEX CHOICE (600-900#) SELECT (600-900#) #OF HD LIVE BASED 180.72 164.86 86,385 BOX BASED 195.24 175.85 51,338 AVE INDEX 187.98 -1.46 170.36 +0.06 137,723 BEEF CUTOUTS CHOICE (600-900#) SELECT (600-900#) 207.24 -3.00 187.85 +0.02 63.80 LDS CH CUTS / 63.13 LDS SEL CUTS / 10.53 LDS TRIM / 20.36 LDS GROUND BOXED BEEF TREND: Shrply lr on Ch&stdy on Sel on lt-mod dem&mod-hvy offer COMPREHENSIVE WEEKLY CUTOUT VALUE: Week ending 11/10 $205.77 +3.98 CUTTER 90% 350# UP C/O: $168.17 -0.41 NAT'L BONELESS BF TRIM: 21.61 lds / Unevely stdy on lt dem & offers 90% TRIM: 06 lds: Wtd Avg $211.20 / Weak to slightly lower *ABCDE AFTER QUOTE REPRESENTS DAYS SINCE LAST REPORTED MARKET TEST*. FI KILL(WTD) FRI 118(591) WK AGO 112(576) YR AGO 115(576) MIX: THU SH96/CB24 SAT 48(639) WK AGO 47(623) YR AGO 53(629) WEEKLY CANADIAN CATTLE IMPORTS. FEEDERS SLAUGHTER S&H Week Ending: 11/04/17 2,106 7,203 Week Ending: 10/28/17 1,353 5,567 Change from prev week: +753 +1,636