Kirsten Rall updates the markets as of 2/14/2020 at 2 p.m.
Grains: After trading on either side of unchanged in early trade on Friday, the grain and oilseed sector ended lower.
This weekend markets 1 month since the US-China trade deal was signed. Optimism that new purchases of US products are to be shipped to China was expected to have an effect on Friday’s trading session although Friday’s numbers ended lower. The hope those purchases are around the corner is also being pulled back by the rapid spread of the coronavirus in Asia and the potential to those exports being lower as global growth declines.
A stressor for US soybean prices seems to be straying away from the coronavirus and toward Brazill’s harvest of 4.59 bb. Early in the week, the private Brazillian firm, Sagras and Mercado had said that half of the crop has already been sold.
The market is now closed for a three day weekend to observe President’s Day on Monday.
Livestock: Livestock futures traded with triple-digit gains on Friday. Live cattle futures jumped with traders looking at the contracts as oversold. Global concern continues to surround the coronavirus and be in the back of trader’s minds.
Cash cattle trade developed on Friday with asking prices on the cattle left on show lists are around $120 per cwt plus live and $192 plus dressed. Light to moderate trade took place this week starting Tuesday with follow up on Wednesday and Thursday. Today’s slaughter totaled 111,000 head. According to DTN that is 4,000 below last week and 3,000 smaller than a year ago.