TOP STORIES:
U.S. Wheat Rises, Following Russian Prices
Wheat for December delivery rose 0.9% to $5.93 1/2 a bushel, on the Chicago Board of Trade Friday, following the lead of Russian wheat prices higher. Corn for December delivery rose 0.6% to $4.10 1/2 a bushel. Soybeans for January delivery rose 0.2% to $11.48 a bushel.
U.S. wheat futures took their cue from Russian prices Friday by moving higher. However, the lift from Russian wheat isn't likely to last, said Charlie Sernatinger of ED&F Man Capital. "U.S. export wheat prices are getting close to Russian values, but that is only a psychological support to the market," said Mr. Sernatinger.
Some Grocers Bring Back Purchase Limits as Covid-19 Cases Rise
Grocery stores are reinstating purchase limits on items like paper towels or soap for the first time since the spring, as consumers stock up on staples amid rising Covid-19 cases.
With people staying at home more, retailers say there is renewed demand for paper products and frozen foods. Stores also are reporting new shortages in staple cooking ingredients like butter and spices.
Kroger Co., the nation's largest grocer, and Publix Super Markets Inc., a chain of more than 1,200 stores in the Southeast, reinstated limits on bath tissue and paper towels last week. Kroger also brought back limits on hand soap and disinfectant wipes. Recently, there has been some shortage of paper and cleaning products as coronavirus cases surge, said Kevin Hourican, chief executive of food-service distributor Sysco Corp.
STORIES OF INTEREST:
US Farmers Eye Planting More Soybeans in 2021 -- Market Talk
12:47 ET - With crop prices across the board significantly higher from where they started 2020, US farmers are thinking ahead to what they plan to plant next year. Farmers tell The Wall Street Journal that they are leaning towards planting more soybeans than they did in this past crop year. "There's enough strength in beans right now to prop more guys to plant beans," says John Gilbert, a farmer and livestock producer in Hardin County, Iowa. According to Gilbert, local basis for soybeans has improved suggesting that many farmers are holding off on selling their 2020 crop in hopes of prices continuing to rise. The most-active soybean contract on the CBOT is currently up 0.5% to over $11.50 per bushel Friday. (kirk.maltais@wsj.com; @kirkmaltais)
Chinese Demand Elevates Agricultural Price Floor, Fitch Says -- Market Talk
0207 GMT - Ongoing reacceleration in Chinese import demand for U.S. soybean, corn, wheat and cotton will maintain an elevated floor on prices, Fitch Solutions says. "China has been boosting its purchases of U.S. agricultural goods this year as part of the phase one trade deal signed in January 2020," Fitch adds. Although agricultural purchases remain below the agreement so far due to the African swine fever and Covid-19, Fitch notes that "Chinese demand has surprised to the upside recently, supporting prices." Chinese imports, particularly of U.S. cotton, have been very strong this year, which could be a sign of robust U.S. soy purchases starting 4Q, it says. (lucy.craymer@wsj.com)
THE MARKETS:
Livestock Futures Drop Along With Cutout Prices -- Market Talk
15:13 ET - Livestock futures trading on the CME finish lower -- with live cattle futures closing down 1.8% to $1.09925 per pound, while lean hog futures finished down 1.4% to 64.9 cents per pound. For both beef and pork, futures followed cutout prices lower. According to USDA data, choice boxed beef cutouts fell slightly, dropping 6 cents per hundredweight to $226.44 per cwt. Meanwhile, pork carcass cutouts fell $2.47 per cwt to $80.61 per cwt. Demand for pork and beef cutouts have been directing the path of livestock futures in recent trading sessions. (kirk.maltais@wsj.com; @kirkmaltais)
(END) Dow Jones Newswires
11-13-20 1735ET
