Grain markets were the story on Thursday as Corn and Soybean futures tumbled, likely having more to do with quarter-end fund liquidation than the latest USDA Grain Stocks and Acreage reports (see below), which were likely regarded as neutral overall.
On Thursday, Corn futures closed 24¢ to 35¢ lower through new-crop contracts and then mostly 11¢ to 20¢ lower.
Soybean futures closed mostly 19¢ to 29¢ lower.
Feeder Cattle futures climbed an average of $2.17 higher Thursday, from $1.50 higher at the back to $2.87 higher in spot August.
Expiring spot June Live Cattle futures closed $1.20 higher at $138 and then an average of 32¢ higher, except for unchanged to an average of 21¢ lower in three contracts.
Cattle futures are higher again so far today.
Negotiated cash fed cattle trade in the Texas Panhandle Thursday was $1 lower than the previous day at $137/cwt.; steady to $1 lower for the week.
Elsewhere, trade ranged from limited on light demand to a standstill with too few transactions to trend.
For the week, live prices are steady to $1 higher in Kansas at $138, steady in Colorado at $145, steady to $3 higher in Nebraska at $145-$151 and steady to $2 higher in the western Corn Belt at $147-$150. Dressed prices are steady in Nebraska at $234 and steady to $6 lower in the western Corn Belt at $234.
Choice Boxed beef cutout value was 88¢ lower through Thursday afternoon at $264.00/cwt. Select was 24¢ lower at $240.57.
Major U.S. financial indices closed lower Thursday on continued investor concern about recession and positioning at the end of the quarter.
The Dow Jones Industrial Average closed 254 points lower. The S&P 500 closed 33 points lower. The NASDAQ was down 149 points.
The indexes were lower through noon today with pressure including the lowest Manufacturing Purchasing Managers Index since June of 2020, according to the Institute of Supply Management.
West Texas Intermediate Crude Oil futures on the CME closed $3.63 to $4.02 lower through the front six contracts.
Corn planted area for all purposes in 2022 was estimated at 89.9 million acres, in USDA’s Acreage report. That would be 3.44 million acres less (-4%) than last year. However, it was more than the estimate in the Prospective Plantings report and more than the trade expected.
Compared with last year, planted acreage is expected to be down or unchanged in 35 of the 48 estimating States.
Corn stocks in all positions on June 1, totaled 4.35 billion bu., up 6% year over year, according to USDA’s Grain Stocks report. Of the total stocks, 2.12 billion bu. were stored on farms, which was 22% more than a year earlier. Off-farm stocks, at 2.23 billion bu., were 6% less.
Soybean planted area for 2022 was estimated at 88.3 million acres, which would be 1% more than last year. Still, Soybean acreage was significantly less than the Prospective Plantings report and below trade expectations.
Compared with last year, planted acreage is up or unchanged in 24 of the 29 estimating States.
Soybeans stored in all positions on June 1 totaled 971 million bu., up 26% from a year earlier. On-farm stocks totaled 331 million bu., up 51% from a year ago. Off-farm stocks of 640 million bu. were 17% more than a year ago.
All wheat planted area for 2022 was estimated at 47.1 million acres, up 1% from 2021. If realized, this represents the fifth lowest all wheat planted area since records began in 1919.
Old crop all wheat stored in all positions on June 1 totaled 660 million bu., down 22% from a year ago. On-farm stocks were estimated at 93.0 million bu., down 34% from last year. Off-farm stocks of 567 million bu. were 19% less than a year ago.
Acreage for all hay was estimated at 51.5 million acres, which would be 771,000 acres more (+1.5%) than last year.