Grain Markets Soar
Grain Markets soared higher as Malaysian palm oil jumped to 28 year highs. This has lent support to soy oil. Soybeans skyrocketed as much as 26.50 cents in January, settling at $11.0375/bushel. This represents the highest settlement price since the summer of 2016. December soybean meal followed suit, adding $2.10 to $387.80/ton. December corn gained 4 cents to $4.0925/bushel. December Chicago Wheat climbed 3.25 cents to $6.0925.
The September Dairy Products Report saw very little surprise and was aligned with analyst expectations. The biggest surprise was the draw down in ending stocks for Dry Whey.
Whey has been the only bright spot in the CME Cash Dairy Product Trade this week. Dry whey gained ¼ of a penny to $.4225/lb. Blocks and Barrels continue its convergence, now just 1 cent apart. Blocks tumbled 13.25 cents to $2.4975/lb on no trades. Barrels fell ¾ of a penny to $2.4875 on 4 trades. Butter remained at $1.4375/lb and Grade A Nonfat Milk lost ¾ of a penny to $1.0575/lb.
Class III milk futures receded significantly after spot cheese traded lower. November fell 23 cents to $23.54/cwt. December milk finished limit down to $19.42/cwt. January milk pushed 37 cents lower to $17.55/cwt. Class IV traded lower as butter and nonfat milk struggle to gain any upward traction.
Fats and feeders printed both red and green today. December live cattle gained 47 cents to $108.35/cwt. November feeder cattle dropped 12 cents to $137.57/cwt. December crude oil decreased 66 cents to $38.48/barrel.