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La Nina Chases Soybean Futures Higher
Soybean futures bounced to a four-and-a-half month high as the risk of a La Nina weather pattern continued to foster buying.
In particular, traders were looking to signs of dryness in Argentina and some of southern Brazil as an indication of a La Nina pattern, which typically reduces crop yield in South America and can cause dryness in the Great Plains wheat growing region.
STORIES OF INTEREST
Lower Soybean Exports Tip October Trade Balance -- Market Talk
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11:44 ET - Weaker soybean exports helped widen the US trade deficit in October. The Commerce Department says the deficit grew 8.6% from the prior month in seasonally adjusted terms, with higher imports and steady exports. That was in part a consequence of lukewarm soybean exports, which fell to $1.67B in October from $3.077B in September. Year-to-date exports are up from 2016. US producers are contending with increased global competition, and analysts say merchants may struggle to meet government oilseed export projections this crop season. (email@example.com; @b_parkyn)
Bears Pressure Cattle Futures
Cattle futures were mixed, closing mostly lower as fund selling continued to weigh on prices.
December-dated contracts for live cattle closed little changed at $1.16425 a pound at the Chicago Mercantile Exchange. Later-month futures and feeder cattle prices were lower.
Zumbrota, Minn Hog $1.00 Higher At $36.00 - Dec 5
Barrow and gilt prices at the Zumbrota, Minn., livestock market today are $1.00 higher at $36.00 per hundredweight. Sow prices are steady. Sows weighing 400-450 pounds are at $33.00-$34.00, 450-500 pounds are $33.00-$34.00 and those over 500 pounds are $35.00-$37.00.
The day's total run is estimated at 100 head.
Prices are provided by the Central Livestock Association.
Estimated U.S. Pork Packer Margin Index - Dec 5
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 -
Dec 5 +$46.91 +$ 50.80
Dec 4 +$46.57 +$ 49.68
Dec 1 +$45.84 +$ 47.70
* 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 110.2
(Percent of Year-Ago) Select 108.1
USDA Boxed Beef, Pork Reports
Wholesale choice-grade beef prices Tuesday rose 89 cents per hundred pounds, to $209.08, according to the USDA. Select-grade prices rose $1.09 per hundred pounds, to $186.63. The total load count was 110. Wholesale pork prices rose 52 cents, to $84.03 a hundred pounds, based on Omaha, Neb., price quotes.
(END) Dow Jones Newswires
December 05, 2017 17:28 ET (22:28 GMT)