TOP STORIES

 
USDA Announces Additional $2.6 Billion in Agricultural Aid 

U.S. farmers impacted by the coronavirus pandemic will receive additional aids payments totaling at least $2.6 billion, the Department of Agriculture confirmed. In a notice issued Tuesday, the USDA said that it is allocating the funds to agricultural producers that may have been missed in previous aid, as well as continuing to help sectors that have been hurt most by the pandemic.

STORIES OF INTEREST

 
Wheat Falls After Egypt Cancels Tender 

Wheat for July delivery fell 1.9% to $6.61 1/2 a bushel on the Chicago Board of Trade Tuesday after Egypt's grains buying authority canceled a previously announced tender. Soybeans for July delivery fell 0.4% to 14.65 3/4 a bushel. Corn for July delivery rose 1.2% to $6.67 1/2 a bushel.

 
Soybean Crush Rates Perk Up in May -- Market Talk 

12:44 ET - Soybeans crushed in the US rose in May, according to data from the National Oilseed Processors Association. NOPA reports the soybean crush rate hit 163.5M bushels in May, up from 160.3M bushels in April. However, the rate is lower than forecast by analysts, Terry Reilly of Futures International says. "The lower than expected US May soybean crush and end of May soybean oil stocks is viewed supportive for soybean oil, in our opinion," Reilly says. Soyoil futures are trading 0.8% lower, which is pulling soybean futures down 0.5%. (kirk.maltais@wsj.com; @kirkmaltais)

 
US Ethanol Production Expected to Keep Rising -- Market Talk 

12:54 ET - Production of ethanol in the US is expected to stay on the rise this week, according to analysts surveyed by Dow Jones. If production rises to the high end of analyst expectations--to roughly 1.08M barrels a day--it'll be the highest US ethanol production has been since late February of last year, prior to the Covid-19 pandemic hitting the US. Meanwhile, inventories of ethanol are expected to rise to more than 20M barrels, according to analysts. Analysts surveyed expect stocks to rise to anywhere from 20.06M barrels to 20.56M barrels. If they rise to the high end of expectations, it'll be the highest stocks have been since early April. Corn futures fall 0.2%. (kirk.maltais@wsj.com; @kirkmaltais)

FUTURES MARKETS

 
Livestock Futures Turn Higher to Close Day -- Market Talk 

1710 ET - Livestock futures closed trading higher, led by live cattle futures -- which closed up 2.2% to $1.239 per pound. For livestock, the uptick comes as grocery stores and food service providers ramp up their sales of meat. "Consumer spending on food has increased dramatically since last spring and in May it hit a new all time record high," says Steiner Consulting Group. "Much of the talk at the start of spring was whether lifting Covid restrictions on foodservice would mean lower spending at retail. In the last two months, however, it appears that both food distribution channels managed to eke out gains." Lean hog futures finished trading up 0.2% to $1.185 per pound. (kirk.maltais@wsj.com; @kirkmaltais)

CASH MARKETS

 
Estimated U.S. Pork Packer Margin Index - Jun 15 
 
 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 - 
                             integrated operations 
 
Jun 15       -$ 27.43            +$107.22 
Jun 14       -$ 16.90            +$120.08 
Jun 11       -$  4.84            +$128.12 
 
* 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. 
 
Beef-O-Meter 
This report compares the USDA's latest beef carcass composite 
values as a percentage of their respective year-ago prices. 
 
                                  Beef 
          For Today              Choice  145.0 
      (Percent of Year-Ago)      Select  136.0 
 
USDA Boxed Beef, Pork Reports 

Wholesale choice-grade beef prices Tuesday fell $1.04 per hundred pounds, to $334.43, according to the USDA. Select-grade prices fell $5.13 per hundred pounds, to $298.28. The total load count was 128. Wholesale pork prices fell $5.98, to $120.94 a hundred pounds, based on Omaha, Neb., price quotes.

(END) Dow Jones Newswires

June 15, 2021 17:31 ET (21:31 GMT)