Friday Market Watch - Crop Prices Rebound

 LIVESTOCK:

Both the live cattle and feeder cattle contracts closed on a higher note while the lean hog complex remained pressured through closing Friday. Hog prices closed lower on the Daily Direct Afternoon Hog Report, down $2.07 with a weighted average of $97.68 on 3,380 head. 

From Friday to Friday, livestock futures scored the following changes: October live cattle up $1.50, December live cattle up $1.15; September feeder cattle up $1.68, October feeders cattle up $1.55; September feeder cattle up $1.68, October feeder cattle up $1.55; October lean hogs down $0.63, December lean hogs down $0.25; September corn steady, December corn up $0.01.

Friday's slaughter is estimated at 123,000 head, steady with a week about but 9,000 head more than a year ago. Saturday's slaughter is expected to be around 17,000 head. This week's slaughter is estimated at 638,000 head, 40,000 head less than a week ago but still 17,000 head more than a year ago.

Boxed beef prices closed higher: choice up $1.35 ($259.42) and select up $1.99 ($238.58) with a movement of 89 loads (54.29 loads of choice, 16.69 loads of select, 5.50 loads of trim and 12.68 loads of ground beef). Throughout the week choice cuts averaged $259.73 (down $3.56 from a week ago) and select cuts averaged $239.07 (down $0.85 from a week ago) and the week's movement of cuts, grinds and trim totaled 607 loads.

More: Friday Closing Livestock Market Update - Cattle Pull Ahead

GRAINS:

December corn closed up 7 3/4 cents and July corn was up 5 3/4 cents. November soybeans closed up 25 3/4 cents and July soybeans were up 23 3/4 cents. December KC wheat closed up 9 3/4 cents, December Chicago wheat was up 16 3/4 cents and December Minneapolis wheat was up 3 1/2 cents. 

For the week:

December corn closed up 1 1/2 cents and July corn was up 1/4 cent. November soybeans ended down 40 3/4 cents and July soybeans were down 34 1/2 cents. December KC wheat closed down 4 1/2 cents, December Chicago wheat was up 5 3/4 cents and December Minneapolis wheat was down 19 1/2 cents.

DAIRY:

It was about time we saw some strength to milk futures again. The strength may be short lived unless buyers remain aggressive during spot trading next week. There is little to indicate a change in the market anytime soon. Supplies of dairy products are sufficient leaving buyers unconcerned over any supply tightness. Buyers of dairy products are purchasing ahead for Fall and holiday demand but do not need to be aggressive. This leaves underlying cheese prices floundering. Milk futures were under pressure most of the week with the gains Friday mainly from traders getting out of previously sold positions. The increase of butter and cheese prices had little to do with the gain of Class III futures as the market has grown accustomed to short term price bounces only to have the weakness resume. The increase of butter price did have a significant impact on Class IV futures as market fundamentals are more bullish.

More: Friday Closing Dairy Market Update - Butter and Cheese Production Increases

FORAGE: This Week's Hay Markets - Forage Fodder Blog

OUTSIDE MARKETS:

The September U.S. Dollar Index is trading down 0.17 at 109.51. October crude oil closed $0.26 higher at $86.87 per barrel. The Dow declined 338 points, closing at 31,318, while the NASDAQ declined 154 points, ending at 11,631. December gold is down $22.00 at $1,749.40, September silver is down $0.37 at $18.76 and September copper is down $0.010. October heating oil is up $0.0430, October RBOB gasoline is up $0.0183 and October natural gas is down $0.082.