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Closing Comments

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Closing Comments

 

Corn prices closed higher on the day but off session highs again.  Settling up .01 in new crop at 4.12 ¼.  Corn looks to be stuck between a rock and a hard place. On the one hand – The weather outlook for a cool/wet April will keep supporting any breaks at this point and this would threaten the production side of the equation.  Add on the fact that USDA has cut around 400 million bushels of projected carryout over last two reports in March.  On the other side and keeping prices in check is fear around NAFTA and more tariffs if China makes new announcements.     

 

Soybeans held on to gains from the overnight and day sessions, but for the second day in a row, closed well off the highs for the second consecutive day at 10.42 ¼, up .02 ¼.  Possibly awaiting to see if there will be any new announcements in soybean or soymeal tariffs due to President Trumps announcement of additional 50 billion worth of Chinese goods as his next move.          

 

Wheat Lowest condition ratings in the Good to Excellent category for wheat in many years and not a lot of relief in sight sparked the large rally in wheat futures today.  Kansas City markets lead the way and shows where the main issues are showing up.  Freezing temperatures in Kansas and Oklahoma are forecasted over the next couple of evenings and could stress the crop beyond recovery.

 

Live Cattle closed the day down 100 points and June settled at 99750.  Cattle and livestock in general felt pressure from rallying grain prices and colder forecasts that will discourage family grilling.  Technical indicators are staring down oversold territories and may provide incentive for some profit taking in short positions, and a bounce may be sizeable.   

 

Hogs continued to feel the pressure from tariff announcements yesterday and traders are looking for any sign that a relief rally maybe near.  The nearby contracts felt the most pressure and closed down around 300 points.         

 

Closing Market Snapshot  

 

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