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 bushel.




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. (; @kirkmaltais)


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%. (; @kirkmaltais)




Livestock Finishes Higher as China Suspends Brazilian Exports -- Market Talk

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. (, @kirkmaltais)



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 - 
                             integrated operations 
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)

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