Market Recap: Monthly Supply/Demand Report Bolsters Hog Futures
U.S. lean-hog futures closed mostly higher Friday, bolstered by the monthly supply-and-demand report from the USDA, which forecast lower pork production next year. December lean hogs rose 55 to 80.75, February futures gained 32 to 86.32
U.S. live-cattle futures finished mostly higher Friday in light trading, supported by a government report that lowered beef-production forecasts for the end of the year and into 2013. December Live Cattle rose 32 to $125, the January contract was unchanged at $129.
At the livestock auction held Thursday in Smithfield a total of 517 cattle were sold. Slaughter cattle trended $2.00-$3.00 higher. Feeder cattle trended $5.00-$10.00 higher.
US soybean futures deepened their losses into the end of trading Friday, pressured by the USDA projecting much greater US soy production this year than analysts had expected, thanks to late-season rains. The decline is enlarged by market participants selling futures to exit bets on higher soybean prices. Corn futures traded slightly lower, as the USDA raised its corn output forecast but also kept its export forecast steady, rather than cutting it. Wheat stayed lower on the USDA cutting exports and boosting its ending stocks forecast. Jan soybeans finished down 44 1/2 at $14.51, December corn closed down 2 1/2 at $7.38, December wheat in Chicago fell 16 to $8.86, and December wheat in KC fell 14 ¾ to $9.22.
No. 2 yellow shelled corn trended two to three cents lower when compared to last report. Prices ranged $7.28-$8.13 at feed mills and $7.23-$7.69 at elevators. No. 1 yellow soybeans trended 22 to 47 cents lower and were $14.37 at processors, and $13.86-$14.44 at elevators. No. 2 red winter wheat was not established. Soybean meal, f.o.b. at processing plants was $509.70 per ton for 48% protein.
The NC egg market is steady on all sizes. Supplies are moderate. Retail demand is good. Weighted average prices for small lot sales of Grade A eggs delivered to nearby retail outlets: Extra Large 146.29, Large 147.23, Medium 125.64 and Small 101.00.
Cotton futures flip-flopped around all day as the market struggled to find a direction after the latest USDA supply/demand report. December cotton gained 32 to 69.58, and the March contract gained a dime to $70.44.
Gold posted the largest weekly gain since January as traders bet that continuity in U.S. policy following the re-election of President Barack Obama and the arrival of a peak period for Indian buying spelled higher demand for the precious metal. December gold rose $4.90 to $1,730.90, December silver closed at $32.59, up 35.9cents
Gasoline futures rose Friday amid reports of tight supplies in the Northeast and in anticipation that the region's recovery from Hurricane Sandy would boost demand for the fuel.
December Gasoline closed the week at $2.69 a gallon, up 9.19 cents, December Crude closed at $86.07 a barrel, up 98 cents, Front-month distillate futures closed at 3.00 per gallon, up 5.04 cents.
Natural gas futures fell Friday, as forecasts for mild weather signaled lower gas-fired heating demand. December Natural gas lost 10.5 cents to $3.50
On Wall Street, stocks gained on Friday on a rise in U.S. consumer sentiment to a more than five-year high, outweighing gloom that the "fiscal cliff" in the United States and Europe's economic woes may lead to a world recession. The Dow gained 4 to close at 12,815, the Nasdaq closed at 2,904, up 9 and the S&P 500 gained 2 to close at 1,379.