Home Indiana Agriculture News Seed Consultants 5/14/2013 Market Update with Gary Wilhelmi

Seed Consultants 5/14/2013 Market Update with Gary Wilhelmi

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Financial
Momentum drives stocks to new highs
Money chasing money
No reports of importance today
WTI crude off $.93 at $94.24
Gold down $10 at $1424
Dollar index up 37 to 83.59
S&P has actually been flat when adjusted for inflation since 1997
Equities ignore list of scandals brewing, IRS, Justice and the AP, Benghazi and Syrian quandary

Livestock
June cattle again support at $120 to close at $120.85
Boxed beef up $.78 on choice at $205.91
Despite steady to lower hogs June makes a run at $93 resistance closing at $92.65
Summer discount to cash mat trigger short covering
Weekend features in the morning
Memorial Day offerings priced

Grain and soybeans
Mild correctional action on spreads
Current weather perfect with rain forecast on the weekend and beyond
U of I historical study shows that corn not planted by 5/10 looses 8% of yield, 15% by 5/20 and 25% by 6/1
S/D last Friday lower corn yield by 3%
Soybeans 6% versus 24 %
Spring wheat 43% versus 63%
Improved technology planting and chemical applications alter the historical’s somewhat
Wheat crops in the Ukraine, Eastern Europe, plus France and Germany look good
NOPA crush this week
Firm dollar limits exports

 

Boundaries:

June cattle $120-124
June hogs $89 – 92.50
Dec corn $5.17-5.50
Nov beans $12.00-12.25
July wheat $7.00-7.25
Equities at or near highs

10:14 market action update

Dow up 35, NASDAQ 14 and S&P 7 better
Public stocks have been cut in half to just over 4000 in the last fifteen years
Over regulation
Such reduced public companies curbs average folks retirement fund performance
China has had four quarters of reduced economic growth
Wal Mart is loosing its share of lower income spending
S&P has been flat since 1997 if adjusted for inflation

 

9:51 market update

Stocks narrowly mixed
Grains and soybean the same and meats too
Ag volume is extremely light
Listless activity
Cash hogs steady as producers are doing field work
Pork volume light at 255 loads
Summer cattle at a discount may trigger short covering
Memorial Day bookings complete

Opening Comment

Financial
US stocks mixed
DAX up .3 and FTSE up .1%
WTI crude off $.19 to $94.98
Gold $11 lower at $14.26
Dollar index 83.39 up 12
Scandals related to inactivity regarding Benghazi, IRS and Syrian Red line plagues administration
German investor sentiment flat lining

Livestock
Cattle show lists unchanged
Cash cattle offered at $128
Standoff thus far
Boxed beef hit $206 and then pulled back to $205
Kill 123,000 and 400,000 both on par
Iowa-Minnesota hogs lost $ .34
Pork cutout up $ .83 with loins $1.99 higher, hams off $1.08 and bellies plus $ .72
$120 remains important support on June cattle

Grains and soybeans
Steady as she goes over night
Tight supplies and lack of clean up farm selling rallied old crop Monday
May’s expire at noon today
Corn 28% planted the slowest since 1984 versus a 65% average
Soybeans 6% versus 24%
Spring wheat 43% versus 63%
Few more good catch up days and then rain over weekend
Funds bought 15,000 corn, 3000 wheat and 5000 beans yesterday
Exports lack dynamic leader
Dollar toward higher side of range