Home Market Market Watch Gary Wilhelmi 5/4/2012 Update 2

Gary Wilhelmi 5/4/2012 Update 2

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12:27 update

1-3” of rain possible in Midwest this weekend
July beans 54 cents off Wednesday high
Palm oil weak again
KC wheat at low
Algeria buys 120,000 tons of HRW—routine
India may export 10 MT of wheat as stocks swell toward 75 MT with a 63 MT cap

11:21 update

DAX off 1.8%
Spanish stocks down 4% on 10 year auction concerns
Italy on it slow off 1.5%
Dow now 129 points lower closing in on 13,000
NASDAQ falls below 3000 and S&P is down to 1377.

 

10:52 update

Light volume in all markets
Dow off 120 points
Crude falls 43.09 to 99.45
DAX down 1.8%
Grain and soybeans little changed
Hogs resume power dive off $1.50 at $83.42 on June
Cattle tread water off $.20
Open outcry trade at CME now under 10% of volume.

10:23 update

Dow down 105
Crude over $2 lower near $100 per barrel
Cattle trade at 412021 in Nebraska but Kansas and Texas are slow to develop
Lower pork cutout
Cash hogs called steady to lower
240,000 tons of optional origin corn to Mexico
116,000 corn to S Korea
120,000 tons of beans to unknown
Watch dry HRW areas as soil moisture is deficient

9:37 update

Dow opens off 55 points following weak jobs report
Euro zone PMI was 46.7 down from 49.1
Watch French and Greek elections
Consumers must lead recovery and that is in doubt as reports are mixed and statistics convoluted

 

Financial
Just 115,000 new jobs reported and unemployment dips.1% to 8.1%
US economy in a spring stall?
European woes continue with DAX off .5%
Crude oil down again at $101.53 off $.1.67
Gold down $3 at $1633
Dollar index up 8 at 79.30 still in range

 

Livestock
A few cattle trade down to $119 in the south
Boxed beef choice down $.22 and select up $ .47
Short covering headed cattle drive yesterday and hogs followed but faded late
Pork cutout down $.35 with loin’s off $.14 and hams steady
No cook out cuts featured for this weekend
Kills up 2000 cattle and down 12,000 hogs for the week
Grain and soybeans
Large exports 3.47 MT of corn and 1.7 MT of beans but proved to be in the market
Watch for more Chinese bean buying this morning
Expanded trading hours at the CME pushed back to 5-21 due to paperwork
Rains into the weekend in the Midwest then cooler and dryer
Kansas wheat needs rain
S/D report next Thursday
Volatility intensity turning up again—so take the long view and don’t be confused by speculative garbage trade