Crush
The January board crush narrowed to about $1.90½, down roughly 2 cents from Wednesday. Meal fell 3.9 and soybean oil fell 46 points while beans dropped 11¾ cents, so the product side came down faster than the cost side early but beans gave back more by the close. Meal is carrying about 50.5% of the product value and oil about 49.5%.
Soybeans
January soybeans settled at 12.19, down 11¾ cents, with a range of 12.18¼ to 12.31½ and volume of 107,018. Beans gave back most of what they picked up after Tuesday’s WASDE. The US dollar index hit a 19-month high, which makes US beans more expensive for foreign buyers. Reports that China is facing a soybean oil glut as it takes supplies from both Brazil and the US added pressure. Soybean open interest fell 3,963 contracts on Wednesday.
Soybean oil
December soybean oil settled at 63.42, down 46 points, with a range of 63.16 to 64.09 and volume of 61,368. Oil traded lower even though Malaysian palm extended its rebound toward 4,450 ringgit on a weaker ringgit and firmer Dalian edible oils. Malaysia’s October palm stocks came in at a record 3.62 million tonnes but below the 3.75 million the trade expected. Soybean oil open interest fell 4,723 contracts Wednesday.
Corn
December corn settled at 4.42½, down 5½ cents, with a range of 4.42¼ to 4.49 and volume of 250,081. Corn failed to take out Tuesday’s post-report high of 4.55½ and spent the session working lower. Taiwan bought Brazilian corn rather than US origin, and Brazil is holding a record crop. The stronger dollar weighed on the market. USDA’s weekly export sales report was pushed to Friday because of the Veterans Day holiday. Corn open interest rose 14,976 contracts Wednesday.
Wheat
December Chicago wheat settled at 5.84¼, down 15¼ cents, with a range of 5.82¼ to 6.03 and volume of 116,285. March Kansas City fell 17¼ to 6.32¼ and March Minneapolis fell 13 cents to 6.3675. Wheat gave back all of Wednesday’s gain and more. Rain is in the forecast for the southern Plains, which pressured the Kansas City contract hardest. Algeria and China had both been in the market for international wheat earlier in the week.
Cattle
February live cattle settled at 222.950, up 25 cents, with a range of 221.975 to 224.750 and volume of 31,806. January feeders settled at 331.675, up 3.875, with a range of 327.550 to 334.075. Feeders led the complex higher, helped by the lower corn market since cheaper feed lowers feedlot costs. USDA data shows more than 40 new screwworm cases confirmed so far in November, the most of any month since the pest appeared in Texas this year, with 65 active cases and the newest a horse in Otero County, New Mexico. Mexico raised beef exports to the US by 17% while live cattle shipments continued to decline.
Hogs
December lean hogs settled at 55.150, down 87½ cents, with a range of 54.625 to 56.050 and volume of 45,340. Hogs gave back Wednesday’s small gain and traded back toward last week’s contract lows. The CME lean hog index was projected at 59.78, down 21 cents. December pork cutout was quoted at 89.600.
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