Home Market Market Watch Seed Consultant 3/4/2013 Evening Comment with Gary Wilhemy

Seed Consultant 3/4/2013 Evening Comment with Gary Wilhemy

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Financial
Dow up 38 about 40 points below the high
S&P 1524 up 6
NASDAQ 12 higher at 3182
Market action constructive, but be careful as these are treacherous waters
Our inability to deal with the fiscal crisis, China’s building bubble and Europe’s ongoing uncertainty that could be a murders row.
WTI crude down $.70
Gold little changed
Dollar index finished 9 lower at 82.22
Unemployment Friday and maybe a slight cut is seen, but those reports are so doctored that certainty is allusive at best

Livestock
Cash cattle and boxed beef came into the week strong, but futures did little closing at $130.47 up $ .52 on the April
April hogs went out $.95 lower at $80.17 on support
Another heavy snow is headed into the Midwest and that will harm hog transportation
The feedlot areas are normalizing
Cattle kill has been down for two weeks and that has firmed the cash and beef markets
Grain and soybeans
The grains took a dive through support at $7.00 in May corn and wheat but recovered some late on short covering
Soybeans fell with the grains but roared back to close $.20 higher in the May contract
Volatility is the one thing we can count on in these speculative dominated markets
Chinese building bubble fears are not curbing soybean demand
A full belly is a happy belly and China has a history of violent unrest, so their leadership is attempting to cover food needs
The dollar eased back a bit today but is till near its high subduing export sales
Weather guessers are active, but honestly nobody knows what the spring may be like
Over 500 counties in the Midwest remain on the drought list, so let’s play the weather as it is dealt
S/D Friday
Prospective plantings at months end

 

 

 

12:18 update

Even in these volatile computer driven times markets tend to go to the orders and this case stops at $7.00 in May corn and wheat.
Last trades $6.96 corn and $6.99 wheat
May beans are 9 lower at $14.37 still in mid range

12:05 update

Should the Dow experience a normal correction support lies at about 12,500 or 10% down
Apple stock is at its 52 week low as Google is at its high
The fact that we have gotten into this fiscal fix is historically embarrassing

11:39 update

May wheat is closing in on $7.00 long term support, at $7.05 last.
May corn $7.05 with support at $7.00 then $6.90
May soybeans in at mid range at $14.49
April cattle at $130.30 hang near low despite cash improvement
April hogs $81.00 with support at $80

 

11:11 update

Dow quietly off 39
European leaders demand austerity is Italy
Hardly a wheel turning in Ag trade
Low volume in stocks raises correctional concerns
Employment the end of the week