LIVESTOCK HIGHLIGHTS: Top Stories of the Day
Soybeans Rise as Dry Weather Threatens Supply
Soybeans for November delivery rose 1.1% to $9.06 1/4 a bushel
on the Chicago Board of Trade Monday, as foreign buyers appear to
be purchasing more U.S. exports in expectation of extended dryness
hurting crop yields.
Corn for December delivery rose 0.8% to $3.56 1/4 a bushel.
Wheat for September delivery rose 0.3% to $4.93 1/4 a
STORIES OF INTEREST
Soybean Export Inspections Highest Since May -- Market Talk
11:55 ET - Export inspections for US soybeans are at their
highest level since the week of May 7, the USDA says Monday.
Soybean export inspections totaled 19.2M bushels, well up from the
previous week's figure of 12.3M bushels. Combined with today's
reports of new soybean export sales to China, soybean futures are
getting a lift from the new indications of export market demand.
The CBOT November soybean contract is trading 1.1% higher.
USDA Confirms New Soybean Sales to China -- Market Talk
09:45 ET - The USDA says that 264,000 metric tons of soybeans
have been sold to China for the 2019/20 marketing year, the first
notice of sales over 100,000 tons to China since June 26.
Additionally, 204,000 tons of corn were sold to China for 2020/21,
and 182,800 tons of corn were sold to Mexico. The new indications
of export sales volume should be supportive for grains futures
today. Early in CBOT trading, Corn is up 1.3%, soybeans rise 1.6%,
and wheat edges-up 0.2%. (email@example.com; @kirkmaltais)
Livestock Finishes Higher as China Suspends Brazilian Exports --
15:30 ET - The suspension of exports from two Brazilian
meatpacking facilities provided support for livestock futures
Monday. "While no specific reason was given for this move, it is
believed it is in response to the spread of Coronavirus through
Brazil, which has the world's second most cases," says Karl Setzer
of AgriVisor. "Last week China had said they would require
certificates that imports were Covid free... China has now banned
imports from a total of six Brazilian packing plants." Live cattle
futures finished trading Monday up 0.7% at $1.00 per pound--the
first time cattle has closed above $1 since late May. Lean hog
futures finished trading up 0.2% at 49.275 cents per pound.
Estimated U.S. Pork Packer Margin Index - Jul 6
This report reflects U.S. pork packer processing margins. The margin indices
are calculated using current cash hog or carcass values and wholesale pork
cutout values and may not reflect actual margins at the plants. These
estimates reflect the general health of the industry and are not meant to
be indicative of any particular company or plant.
Source: USDA, based on Wall Street Journal calculations
All figures are on a per-head basis.
Date Standard Margin Estimated margin
Operating Index at vertically -
Jul 6 +$ 71.32 +$ 5.58
Jul 2 +$ 77.68 +$ 10.16
Jul 1 +$ 69.96 +$ 3.68
* 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.
This report compares the USDA's latest beef carcass composite
values as a percentage of their respective year-ago prices.
For Today Choice 94.4
(Percent of Year-Ago) Select 101.1
USDA Boxed Beef, Pork Reports
Wholesale choice-grade beef prices Monday rose 2 cents per
hundred pounds, to $205.46, according to the USDA. Select-grade
prices fell $1.79 per hundred pounds, to $196.97. The total load
count was 169. Wholesale pork prices fell $2.13, to $64.33 a
hundred pounds, based on Omaha, Neb., price quotes.
(END) Dow Jones Newswires
July 06, 2020 17:40 ET (21:40 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.