TOP STORIES

Tariffs Weigh on Corn and Soybean Prices as Wheat Stays Afloat

Corn and soybean futures fell after the U.S. enacted additional tariffs on Chinese goods, and experts say grain traders and farmers are anxiously awaiting a resolution to the present stalemate.

Soybean contracts for November delivery fell 1.2% to $8.14 at the Chicago Board of Trade. December corn contracts fell 1.4%, and wheat futures rose 0.8%.

STORIES OF INTEREST

Tariffs a 'Recipe for Disaster' for Seafood Industry -- Market Talk

10:55 ET - Fish groups are dismayed at the latest escalation in the US-China trade dispute, which brings tariffs on hundreds of millions of dollars of fish and seafood imported from China. The tariffs, announced Monday by the Trump administration, will hurt US fishermen, who send part of their catch to China for processing and re-export, as well as grocers and restaurants who likely will incur higher prices and then pass them on to consumers, fish groups say. The cost of duties "would be felt not by the Chinese, but instead by American companies, Alaska fishermen and US customers," the Alaska Seafood Marketing Institute says. The National Fisheries Institute called the tariffs a "tax on Americans," adding that "less employment in the seafood sector combined with higher prices for the product is a recipe for disaster." (jesse.newman@wsj.com; @jessenewman13)

Cracker Barrel Menu, Promos Miss with Customers -- Market Talk

10:25 ET - Cracker Barrel Old Country Store reports lower-than-expected fiscal 4Q sales, with CEO Sandra Cochran attributing the miss to customers not being drawn in by menu and marketing promotions. Same-store traffic falls 3.5%, while comparable sales slip 0.4%. Cracker Barrel also misses analysts top and bottom line expectations. Overall sales rise 9% to $810.9M from the same period a year earlier, falling below analysts' estimates of $824.26M, according to a Thomson Reuters poll. Adjusted EPS of $2.55 misses Wall Street's $2.69 consensus. Shares fall 4% to $144.65. (kimberly.chin@wsj.com)

FUTURES MARKETS

Hog Futures Soar As Storm Halts Slaughter -- Market Talk

15:32 ET - Hog futures finish higher as tropical storm Florence delays processing in the Southeastern United States. Hog futures rise 4.7% to 57.975 cents a pound, while cattle prices edge lower. "Product is expected to grind higher this week as the slaughter disruption totally cleans up the pork pipeline," says Dennis Smith of Archer Financial Services. CBOT grain options trader Virginia McGathey says that prices are also supported by lower corn prices, making feed cheaper, as well as the outbreak of African swine fever abroad. (francesca.fontana@wsj.com; @francescamarief)

CASH MARKETS

 
Zumbrota, Minn Hog $2.00 Higher at $34.00 - Sep 18

Barrow and gilt prices at the Zumbrota, Minn., livestock market are $2.00 higher at $34.00 per hundredweight. Sow prices are steady to $1.00 higher. Sows weighing 400-450 pounds are at $21.00-$23.00, 450-500 pounds are $21.00-$23.00 and those over 500 pounds are at $24.00-$26.00.

The day's total run is estimated at 100 head.

Prices are provided by the Central Livestock Association.

 
Estimated U.S. Pork Packer Margin Index - Sep 18 
 
This report reflects U.S. pork packer processing margins. The margin indices 
are calculated using current cash hog or carcass values and wholesale pork 
cutout values and may not reflect actual margins at the plants. These 
estimates reflect the general health of the industry and are not meant to 
be indicative of any particular company or plant. 
Source: USDA, based on Wall Street Journal calculations 
All figures are on a per-head basis. 
 
Date     Standard Margin       Estimated margin 
         Operating Index         at vertically - 
                             integrated operations 
                                      * 
Sep 18       +$ 42.94            +$ 31.14 
Sep 17       +$ 44.31            +$ 27.85 
Sep 14       +$ 46.44            +$ 24.58 
 
* Based on Iowa State University's latest estimated cost of production. 
A positive number indicates a processing margin above the cost of 
production of the animals. 
 
Beef-O-Meter 
This report compares the USDA's latest beef carcass composite 
values as a percentage of their respective year-ago prices. 
 
                                 Beef 
          For Today             Choice  106.9 
      (Percent of Year-Ago)     Select  103.5 
 
USDA Boxed Beef, Pork Reports

Wholesale choice-grade beef prices Tuesday fell 75 cents per hundred pounds, to $205.29, according to the USDA. Select-grade prices fell $1.91 per hundred pounds, to $195.47. The total load count was 174. Wholesale pork prices rose $1.53, to $76.22 a hundred pounds, based on Omaha, Neb., price quotes.

(END) Dow Jones Newswires

September 18, 2018 17:45 ET (21:45 GMT)

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