DTN's Quick Takes

Periodic Updates on the Grains, Livestock Futures Markets

(Illustration by Nick Scalise)
Grains

OMAHA (DTN) -- December corn is down 1 1/4 cents per bushel, January soybeans are down 3 1/2 cents, December KC wheat is up 3/4 cent, December Chicago wheat is down 3 1/4 cents and December Minneapolis wheat is up 2 3/4 cents. The Dow Jones Industrial Average is up 184.94 points, and December crude oil is down $1.22 per barrel. The U.S. Dollar Index is up 0.670, and December gold is down $10.80 per ounce. Corn, beans, bean oil and Chicago wheat continue to be under pressure. However, the break appears to be a correction, with U.S. corn the cheapest on an FOB basis, and U.S. soybeans the only game in town before February. Soybean export sales are now 79% of the projected total from USDA. While Brazil is wet, Argentina is dry for the next 10 days.

Posted 10:31 -- December corn is up 1 1/4 cents per bushel, January soybeans are down 1/2 cent, December KC wheat is steady, December Chicago wheat is down 2 cents and December Minneapolis wheat is up 1/4 cent. The Dow Jones Industrial Average is up 97.48 points and December crude oil is down $1.21 per barrel. The U.S. Dollar Index is up 0.590 and December gold is down $8.50 per ounce. Corn has rallied back nearly 10 cents from the daily low following flash sales of nearly 62 million bushels (mb), with 56.4 mb going to Mexico and the balance to unknown destinations. Very good third quarter economic numbers have firmed up the crashing equity markets, but crude oil remains under heavy pressure as fears of more COVID-19 lockdowns rise. While Brazil rains are improving, a drier pattern looks to be in store for Argentina.

Posted 08:32 -- December corn is down 3 1/2 cents per bushel, January soybeans are down 1 cent, December KC wheat is down 3 cents, December Chicago wheat is down 6 1/2 cents and December Minneapolis wheat is up 1/4 cent. The Dow Jones Industrial Average is down 42.38 points and December crude oil is down $2.17 per barrel. The U.S. Dollar Index is up 0.360 and December gold is down $11.60 per ounce. USDA announced new corn sales early Thursday morning: a total of 61.9 million bushels sold. A sale of 1,432, 550 mt (56.4 mb) to Mexico, with 891,540 mt (35.1 mb) for 2020-21, 541,010 mt (21.3 mb for 2021-22 and another 140,000 mt (5.5 mb) of corn sold to unknown for 2020-21. Third quarter GDP came in at a better than expected record gain of 33.1% and jobless claims fell to a seven-month low, but economists are fearful that the surge in COVID-19 cases could lead to further demand reduction in the fourth quarter.

Livestock

Posted 11:36 -- December live cattle are up $2.88 at $107.55, January feeder cattle are up $1.13 at $131.075, December lean hogs are down $0.75 at $65.625, December corn is down 2 1/2 cents per bushel and December soybean meal is up $0.30. The Dow Jones Industrial Average is up 63.12 points and NASDAQ is up 145.59 points. With the earlier part of the week's trade being favorable to cattle contracts, concerns that the market's motivation would die off, as the later part of the week arrived, were valid but thankfully Thursday's trade has grown even more supportive of the cattle contracts! Meanwhile, the lean hog complex is trading modestly lower following the morning's disappointing export report.

Posted 10:35 -- December live cattle are up $1.70 at $106.375, January feeder cattle are up $0.23 at $130.175, December lean hogs are down $1.23 at $65.15, December corn is up 1 cent per bushel and December soybean meal is up $1.10. The Dow Jones Industrial Average is up 104.78 points and NASDAQ is up 169.45 points. Thursday's disappointing export report has left lean hogs trailing in their downward spin and the complex is seeing as much as $1.00 losses in nearby contracts. Meanwhile, cattle contracts continue to trade steadily higher despite the corn market trading higher. There are a few scattered cash cattle bids on the table, but most of the country remains quiet with feedlots not accepting bids yet.

Posted 08:32 -- December live cattle are up $0.08 at $104.75, January feeder cattle are up $0.05 at $130., December lean hogs are down $1.18 at $65.2, December corn is down 2 3/4 cents per bushel and December soybean meal is down $1.00. The Dow Jones Industrial Average is down 26.15 points and NASDAQ is up 67.00 points. Beef net sales of 18,900 mt reported for 2020 were down 13% from the previous week and 6% from the prior four-week average. The three primarily increases were for China (4,300 mt), Japan (4,200 mt, including decreases of 200 mt) and South Korea (4,200 mt, including decreases of 1,500 mt). Pork net sales of 29,000 mt reported for 2020 were up 8% from the previous week, but down 24% from the prior four-week average. The three primary increases were for Mexico (8,400 mt, including decreases of 1,500 mt), Japan (6,400 mt, including decreases of 200 mt) and South Korea (2,900 mt, including decreases of 400 mt).