DTN Early Word Grains 09/20 05:55
Grains Green Paint Drying
December corn was 1 cent higher, November soybeans were fractionally higher, and December Chicago (SRW) wheat was 2 cents higher.
By Darin Newsom DTN Senior Analyst
6:00 a.m. CME Globex: December corn was fractionally higher, November soybeans were 3-cents higher, and December Chicago (SRW) wheat was 1 cent higher.
CME Globex Recap: Trade in grain and oilseed markets overnight, while mostly to the upside, was like watching paint dry. Corn posted less than a 2-cent range, wheat moved less than 3 cents, and soybeans couldn't establish a 6-cent range through early Wednesday morning. Outside markets were mostly higher, with light pressure in both DJIA futures and the U.S. dollar index ahead of the conclusion of the Federal Reserve's 2-day meeting and subsequent announcements Wednesday afternoon.
OUTSIDE MARKETS: The Dow Jones Industrial Average closed 39.45 points (0.2%) higher at 22,370.80, the NASDAQ Composite gained 6.68 points (0.1%) to 6,461.32, and the S&P 500 gained 2.78 points (0.1%) to 2,506.65 Tuesday. DJIA futures were 2 points lower early Wednesday morning. Asian markets closed mostly higher with Japan's Nikkei up 11.08 points, Hong Kong's Hang Seng gained 76.39 points (0.3%), and China's Shanghai Composite added 9.15 points (0.3%). European markets were trading mixed with London's FTSE 100 up 0.78 point, Germany's DAX down 6.21 points, and France's CAC 40 gaining 6.63 points (0.1%). The euro was 0.0013 higher at 1.2007 while the U.S. dollar index slipped 0.16 to 91.68. December 30-year T-Bonds were 8/32 higher at 154'12 while December gold added $8.20 to $1,318.80. Crude oil was $0.54 higher at $50.02 while Brent crude gained $0.49 to $55.63. China's Dalian soybean futures were lower and Malaysian palm oil futures were mostly higher overnight.
DTN Midday Grain Comments 09/20 11:35
All Grains Trading Higher at Midday
Trade is lower across the board at midday in slow trade.
By David Fiala DTN Contributing Analyst
The U.S. stock market indices are mixed; the Dow futures are up 12. The interest rate products are mixed. The dollar index is 10 lower. Energies are mostly higher with crude up 85. Livestock trade has cattle higher and hogs mixed. Precious metals are higher with gold up $5.
Corn trade is 1 to 2 cents higher at midday and we have been up 3 cents. In the big picture the trade looks comfortable trading within the range of the USDA report day last week. Next Friday we will have the quarterly grain stocks report. The weekly EIA numbers listed ethanol production 1.34% lower on the week with stocks 0.03% higher. Gasoline demand was off 1.82%. Ethanol margins movement is not good today with ethanol down a penny and corn up 1 to 2 cents at midday. Harvest should continue to make progress with warmer near term weather before a potential shift cooler and wetter next week. Basis has been fairly steady this week. On the December chart support is at the $3.44 1/4 August low with resistance at $3.53, where we find the 10-day and 20-day moving averages, which are also the lowest major moving averages. The technical trend remains down with trade below all major moving averages and trade is not currently oversold. Market bulls argue this is old news and we have not slipped further at this juncture.
Soybean trade is 3 to 4 cents higher at midday; meal is $1.50 higher and soybean oil is up around 10 points. The trading range has been a dime and mostly positive for beans with November continuing to find selling interest in the $9.75-$9.80 area. South America looks to remain mostly dry near term with major planting progress just around the corner with improved rains for Brazil expected next week. The export news is expected to remain positive but buyers may be starting to back off and wait for lower prices during the US harvest. On the November chart support was at the 10-day at $9.65 is once again support with the bounce back late yesterday with the 20-day at $9.56 below that, with the 200-day at $9.79 3/4 major resistance.
Wheat trade is 2 to 3 cents higher at midday. Wheat trade is trying to work back to the upper end of the range with follow-through buying after the late rally yesterday. Australia continues to see some struggles as the crop emerges from dormancy, while the large Russian crop will continue to keep pressure on the ability of the US to compete on the world market. Canadian production estimates yesterday left the sharp decline in wheat production intact. Egypt is starting to look around for cargoes again. On the December Kansas City contract we slipped below the 20-day at $4.38 with longer term support the $4.20 contract lows with resistance at the recent high at $4.51 3/4, with the 50-day at 4.72 above that.
David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered Advisor. He can be reached at firstname.lastname@example.org Follow him on Twitter @davidfiala
Copyright 2017 DTN/The Progressive Farmer. All rights reserved.
DTN CATTLE PRICES/TRENDS 09/20 14:00
HEAD SOLD LIVE STEERS DRESSED LIVE HEIFERS DRESSED KANSAS . . . . . NEBRASKA . *104.00(BID) *165.00(BID) *104.00(BID) *165.00(BID) TEXAS . *104.00(BID) . *104.00(BID) . COLORADO . . . . . IOWA . . . . . ILLINOIS 100 107.00 . . . *=PRIVATE SOURCES
DTN COMMENTS: The country is fairly quiet this afternoon and thanks to sharply higher futures some higher Southern asking prices have been noted around 110.00-111.00. It is looking like significant trade volume will be delayed until the second half of the week.
Today's kill totaled 116,000 head, 1,000 below last week, but 2,000 more than a year ago. Cattle futures closed sharply higher with triple digit gains dominating both markets and reaching a six-week high, thanks in part to short-covering and technical buying. Beef cutouts are expected to close lower with light to moderate box movement
The Fed Cattle Exchange Auction report today listed a total of 1,450 head, with 636 actually sold, 440 head listed as unsold, and 374 head listed as PO. The state by state breakdown looks like this: KS 608 total head, with 382 head sold at $106.50-$106.75, 0 head unsold, 226 head listed as PO ($106.00); NE 300 total head, with 0 head sold, 300 head unsold, and 0 head listed as PO; TX 542 total head, with 254 head sold at $106.75, 140 head unsold, and 148 head listed as PO ($106.50); CO no cattle listed; IA no cattle listed; other states no cattle listed. The delivery date/weighted averages breakdown is as listed: 1-9 day delivery: 1,150 head total, 636 head sold, with a weighted average price of $106.67; 1-17 day delivery 97 head total, no sales; 10-17 day delivery 0 head total; 17-30 day delivery 203 head total, no sales.
DAILY DIRECT SLAUGHTER CATTLE-NEGOTIATED PURCHASES-SUMMARY **Summary includes trade from 1:30 PM the previous day through 9:30 AM today.**
KANSAS CONFIRMED CASH SALES: 0 WEEK TO DATE: 0 STEERS - LIVE FOB STEERS - DRESSED DELIVERED No reportable trade No reportable trade HEIFERS - LIVE FOB HEIFERS - DRESSED DELIVERED No reportable trade No reportable trade
NEBRASKA CONFIRMED CASH SALES: 313 WEEK TO DATE: 313 STEERS - LIVE FOB STEERS - DRESSED DELIVERED No reportable trade No reportable trade HEIFERS - LIVE FOB HEIFERS - DRESSED DELIVERED No reportable trade No reportable trade
TEXAS CONFIRMED CASH SALES: 0 WEEK TO DATE: 0 STEERS - LIVE FOB STEERS - DRESSED DELIVERED No reportable trade No reportable trade HEIFERS - LIVE FOB HEIFERS - DRESSED DELIVERED No reportable trade No reportable trade
COLORADO CONFIRMED CASH SALES: 0 WEEK TO DATE: 0 STEERS - LIVE FOB STEERS - DRESSED DELIVERED No reportable trade No reportable trade HEIFERS - LIVE FOB HEIFERS - DRESSED DELIVERED No reportable trade No reportable trade
IOWA CONFIRMED CASH SALES: 35 WEEK TO DATE: 57 STEERS - LIVE FOB STEERS - DRESSED DELIVERED No reportable trade No reportable trade HEIFERS - LIVE FOB HEIFERS - DRESSED DELIVERED No reportable trade No reportable trade
NOTE: Feedlots are encouraged to call DTN with any cattle sales, at 1-800-369-7675, 1-402-399-6402, or 1-402-462-8897. All sales will be listed anonymously and organized by state. All live sales are FOB and set for 1-9 day delivery. General trends and summaries from this data will also be posted on the Daily Sales Reported to DTN page.