Headlines:
- The Cattle on Feed report Friday showed On Feed at 108%, Placed at 101%, and Marketed at 99%. Those were all above the average trade estimates
- Japan’s government is showing hesitation in meeting the US’s demand for fewer restrictions on shipments of beef to Japan. The two countries are currently in preparations for upcoming economic discussions
- Rains Fade, Brazil’s Soybean Harvest Speeds Ahead – safrinha corn crop planting pace remains uncertain
Brazil’s Midwest soybean harvest takes advantage of a break in the rain events to surge ahead. Last week, rains stopped and producers in the Midwest of Brazil accelerated the harvest of soybeans. The harvest, which was at 0.8% the previous week, jumped to 3.8% by January 25, according to AgRural’s survey. In the same period of the last season, the harvest reached 4.3%, while the average of five years is 2.9%. In the Central-West region of Brazil, Mato Grosso, the largest soybean producing state, harvest is now 13.5%, compared to 2.8% in the previous week. Now the harvest in Mato Grosso is ahead compared to the harvest of 12.4% of the area in the previous soybean crop.
- Cargill and Faccenda joint venture launched
Avara Foods will combine Cargill’s fresh chicken business in the UK and Faccenda’s fresh chicken, turkey and duck business.
Summary:
The Corn market was supported by strong Wheat and Soybean markets today. Export inspections were reported at 993,506 metric tons for Corn which was the higher end of trade expectations that ranged from 700,000-1,000,000 metric tons. Lat week’s figure was at 668,946 metric tons. Privat US exporters sold 115,000 metric tons of Corn to Egypt for the 2017-18 marketing year. Soybeans also finished higher today pulling support from the Soy Meal market. Traders continue to be concerned about dry weather in Argentina. The recent gains in Soybean is in line with previous projection for Beans. Soybean export inspections came in at 1,104,978 metric tons which was in line with trade expectations that ranged from 800,000 – 1,300,000 metric tons. The prior week’s figures were at 1,419,430 metric tons. The Wheat markets continue to be very strong. The recent weakness in the US Dollar along with Wheat trading through key resistance brought additional buyers to the fray and long with more short covering. Weather forecasts calling for continued dry conditions in the southern plains Wheat belt has also been a factor. Export inspections came in at 579,875 metric tons which beat trade expectations that ranged from 250,000-450,000 metric tons. Last week’s figures came in at 337,000 metric tons.