DTN's Quick Takes

Periodic Updates on the Grains, Livestock Futures Markets

Illustration by Nick Scalise

Grains

Posted 10:38 -- March corn is down 2 1/4 cents per bushel, March soybeans are down 9 3/4 cents, March K.C. wheat is down 6 cents, March Chicago wheat is down 4 3/4 cents and March Minneapolis wheat is up 3/4 cents. The Dow Jones Industrial Average is down 41.09 points and March crude oil is down $1.06. The U.S. dollar index is up 0.400 and April gold is down $5.60 per ounce. The higher U.S. dollar and news that Russia would not be restricting wheat exports may be weighing on wheat. March soybeans are now just a few cents from the trend line support, while December corn appears to have broken out of the triangle chart pattern to the downside. More favorable South American weather as well as a still burdensome U.S. and world supply of soybeans is weakening the entire soy complex.

Posted 08:37 -- March corn is down 1 cent per bushel, March soybeans are down 3 1/2 cents, March K.C. wheat is down 3 1/2 cents, March Chicago wheat is down 4 cents and March Minneapolis wheat is down 1 1/4 cents. The Dow Jones Industrial Average is up 85.51 points and March crude oil is down $1.13. The U.S. dollar index is up 0.350 and April gold is down $11.10 per ounce. The markets continue to be under pressure, led by wheat. Soybeans are lower despite another lower estimate of Brazil's soy crop -- this time from Ag Rural, which dropped production to 112.5 million metric tons (mmt) from 116.9 mmt in January, as hot and dry weather in much of December and January in Brazil sapped yield potential.

Posted Sunday, Feb. 10, at 19:11 -- On Sunday evening, March corn is up 1/4 cent, March soybeans are up 1/2 cent and March K.C. wheat is up 1/4 cent. Brazil's crop areas have increased chances for rain this week at a time when soybeans are being harvested and the safrinha corn crop is being planted. Traders will be watching for reports of this week's return to trade talks with China and news about another possible government shutdown. Outside markets look quiet with the Dow Jones futures down 38 points, the March U.S. dollar index is up 0.01, April gold is down $1.30 and March crude oil is down 57 cents.

Livestock

OMAHA (DTN) -- Limited activity is seen in all livestock markets with most contracts hovering from 30 cents lower to 25 cents per cwt higher. April lean hog futures continue to be the focus through Monday morning as traders have broken through long-term support seen last summer with contract lows now being set in April futures. This is adding additional longer-term concerns for buyers to step back into the complex through the next few days. Limited buying has been seen in deferred lean hog markets as well as feeder cattle trade.

Posted 10:21 -- Narrow trading ranges have confined livestock markets to limited activity with mixed trade seen in cattle and hog futures. Lean hog futures remain under pressure with April contracts moving to new contract lows and breaking through summer 2018 price levels with contracts moving to $58 per cwt. This is expected to bring weakness to the entire complex, which has eroded any sense of short covering seen Monday morning. Nearby live cattle trade has moved from narrow early gains to hold prices steady to 20 cents lower as softness in surrounding markets is eroding buyer support.

Posted 09:18 -- Sluggish market moves have developed in all livestock trade with mixed prices holding markets within a narrow range Monday morning. April lean hog futures have trickled lower, breaking through long-term support levels with 22-cent losses moving prices to $58.20 per cwt. This shift lower could bring additional liquidation to the complex, but the bearish tone in the market is raising questions about how much pressure will develop. Cattle futures are mixed with narrow 5 to 15 cent losses holding in live cattle trade as traders slowly back away from recent gains. Feeder cattle futures continue to draw support from limited grain market interest with 20 to 40 cent gains.

(BE)