GRAIN HIGHLIGHTS : Top Stories of the Day
Soybean Traders Ease Bets on Bad Weather
Soybean futures fell as traders pulled back from recent weather-related buying.
Oilseed futures for January fell 1.1% to $9.92 a bushel at the Chicago Board of Trade, with traders taking profits after the market hit a multimonth high earlier this week.
Consumer Trends Impacting Agricultural Commodities -- Market Talk
15:34 ET - The gluten-free trend has nothing to do with the price of wheat but like other consumer trends, it is impacting markets for the underlying commodity, with US consumption of wheat down 10% from its highs, Rabobank's Nick Fereday says. Meanwhile butter's share is at a two-decade high, when at one point margarine controlled 74% of that market. About 10% of the dairy market has been replaced by plant-based alternatives, he says. Demand for bacon, which comes from the fattiest cut of the hog, is upending an industry that spent decades breeding pigs to be leaner. ([email protected])
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Real Drop Stings Brazil-Exposed Commodities -- Market Talk
17:26 GMT - Agricultural commodities with exposure to the Brazilian real drop, with the real down 2% versus the US dollar, amid the fading of hopes that President Temer will be able to push through a pension reform vote in the remaining two week window. Premium arabica coffee is down 2.3% at $1.23 a pound--a low not seen since June--and low-grade robusta is down 1.8% at $1,727 a ton. Raw sugar is also off 1.4% at 14.25 US cents a pound, at a month low. Soybeans were down 1.2% at $9.90 a bushel. That news comes after the Brazilian central bank announced its decision to cut real interest rates Wednesday.([email protected]; @davidhodari)
Whole Foods Distributor Sees Surge in Sales -- Market Talk
16:25 ET - United Natural Foods up 1.5% in after-hours trading after the natural food distributor revises up its guidance for 2018 based on a 8% year-over-year net sales increase in 1Q. Whole Foods accounts for about a third of the Rhode Island-based distributor's business, and has seen sales growth since Amazon bought the grocer and slashed prices over the summer. The distributor now expects net sales of between $9.84 and $10 billion for its 2018 fiscal year, up from $9.63 to $9.81 billion in previous guidance. Full-year EPS guided of $2.72 to $2.80, up from $2.67 to $2.77. ([email protected]; @heatherhaddon)
Livestock Futures Fall on Tepid Demand
Lower beef and physical cattle prices continued to weigh down the futures market.
Cattle futures have mostly fallen since last Thursday as traders reacted to soft demand by unwinding optimistic bets. Hedge funds in particular are liquidating their long positions in live cattle futures, analysts said, and others have reacted to trading patterns that suggested prices were trending lower.