Home Indiana Agriculture News Seed Consultants 3/14/2013 Market Closing with Gary Wilhemy

Seed Consultants 3/14/2013 Market Closing with Gary Wilhemy


The S&P 500 is creeping up to its all time high, like a cat burglar, closing today at 5163 up 9 with 1565 the high water mark
The industrials were up 83 at 14,539
NASDAQ 14 higher at 3258
WTI crude up $ .56 to $93.11
More states are raising gas taxes to make up for their failing economies
Gold finished flat at $1588
The dollar index back tracked in profit taking ending down 24 at 82.60
These equities are acting exhausted
10 year notes at 2.05 % are up from 1.4% in July and that equals a 30% gain.
Bond money moving toward good dividend paying stocks

Another downer in meats, with April cattle $127.80 off $ .75 and April hogs $.35 lower at $80.27.
Owners are hoping for $129 cash cattle
Boxed beef is at its highs and that curbs demand
Pork is lackluster
Hog premium of futures to cash adds more pressure
Spring starts next week but grills in my neighborhood still have their covers on

Grain and soybeans
Wheat runs up 15 cents on decent export sales and dryness concerns in the HRW country
Corn up 6 but exports remain small as there isn’t much of old crop left
Soybeans sold odd again, but are mid range
China cancelled some Brazilian purchase but did not buy as much US product as they have been
Mexico bought some wheat at better price than corn offered
The US bought 400,000 tons of sugar for ethanol and the UK is also seeking alternative bio fuel sources
Frozen ground makes some of recent Midwest rains run off
Volume extremely light
Firm interior basis on corn
Gulf soybeans steady

12:19 update

Dollar index 78-84
April cattle $127-130
April hogs $80-82.50
May corn $6.85- 7.30
May beans $14.00 14.75
May wheat $7.00-7.25-50
S&P resistance 1565

11:35 update

Key 10 year note rate 2.05% up from 1.4% last July equals about a 30% rise and resistance is at 2.4%
Bond positions have been moving toward stocks especially those with a higher dividend
Credit tightening in farm loans
Hone foreclosures on the up swing
Dollar upside projected to 89 from its current 83
Euro back below 1.30 versus the dollar

10:59 update

Dow up 55
S&P 1559
Foreclosures increasing
$5 split between cattle bid and ask
Beef movement lackluster
Near term low in hogs?
Pork demand still soft
Mildly mixed grain and soybeans on light volume
Near term low in wheat?
Central and southern plains have improved but Kansas is just 27% good to excellent
Frozen ground limits Midwest moisture absorption and much more needed, and regularly
Gulf soybeans steady and corn off 5

Opening Market


Dow up 48 and S&P 5 to 1560 with resistance at 1565
Jobless claims fall to 332,000 versus 350,000 expected
PPI up .7%
Market strength mostly Fed powered
WTI crude $92.43 off $ .3
Brent crude $109.56 up $1.14
Gold $1581 down $7
Dollar 83.02 is 14 higher
DAX up .9% after claims report

$129 cattle hoped for by owners
Boxed beef but holds near $197 high on choice
Retail sales absorb higher slaughter which may reach 600,000 this week
Pork cutout on 59 loads were up $.8 on carcass, off $.61 loins and down $ .30 hams
Kill 14,000 under last week

Grain and soybeans
China cancels some soybean buys from Brazil due to 50 day shipping delays
Soybeans weekly exports were just 657,000 with 220,000 to China and the Chinese bought 126,000 for 13/14
Wheat sales 888,000 tons and corn poor again at 282,000 tons
US purchased 400,000 tons of sugar for ethanol
UK has been seeking corn substitutes as well
Mexico may have bought wheat rather than corn on a routine tender
Computer clowns sold off soybeans yesterday and that is just part of the ongoing volatility