Home Indiana Agriculture News Seed Consultants 3/18/2013 Market Closing with Gary Wilhemy

Seed Consultants 3/18/2013 Market Closing with Gary Wilhemy

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Financial
The dire straits of Cyprus are another symptom of the economic dysfunction of Europe
Dow sells off late to close down 62 points
S&P off 12 and NASDAQ 10 lower
DAX closing at 10:30CDT was 1% down
The US banking system is not directly or deeply involved, but we all swim in the same polluted policy cesspool
WTI crude came back to close up slightly
Gold was steadily up $11

Livestock
April cattle up $ .35 while June hogs dropped $ .52 to end on its low.
US meat demand is feeling the effects of the payroll tax hike, ad many of us don’t have much cash to spare
COF expected to post a 6% decline in totals numbers
Cash hogs steady to $1 lower
Cattle finished last Friday at $127
Hog supplies are more then adequate on the short run

Grain and soybeans
Light short covering in corn brought may back to a $.2 gain
Interior corn bids are firm reflecting the tight old crop supply
Watch the old-new crop spreads in corn and soybeans
Dollar at its high hampers exports
Weekly export inspections were soft in corn and soybeans but a bit better in wheat
Wheat business has improved because of lower prices
Global wheat supplies are plentiful
3-28 plantings are seen at 97 m corn, 78 m beans and 56 m wheat
Quarterly stocks will also be released (Domestic usage)
Light brain mixed with snow over next few days in Central Midwest, but we need much more and regularly
Don’t make plans on long term weather forecasts as they are malarkey
When you get up tomorrow look at the European markets, as the Cypriot crisis demands

9:57 update

Dow off 78
S&P down 12
NASDAQ 27 lower
DAX still down 1.2%
HSBC may be laying off 5000
WTO crude $1.90 lower
Dollar climbs 43 to 82.70 and that inhibits exports
Beef margins positive but cash floundering
Pork loins up $4.23 Friday
Low volume grains and soybeans remain lower

 


Financial
Cyprus has been troubled for a long time and now it has come to the surface.
A bail out in the form of a deposit levy may reduce insurability
Russia uses the Cypriote banks extensively
Banks in Cyprus are 6 times as large as the total economy
DAX down 1% and FTSE off .6%
US banks: B of A 1.2% lower, Citi group minus 1.7% and JP Morgan down 1.4%
Crude off $.893 at $92.60 on WTO
Brent crude $108.52 down $1.42
Gold up $9
Dollar index 82.59 up 4

Livestock
Cattle settled at $127 in the south
Slaughter at 606,000 not big enough to hold Boxed beef off $.56 on choice and $1.20 select
Pork cutout up $161 on carcass with loins $4.23 better and hams steady
Hog slaughter 2,203,000 up 2000
General commodity liquidation sweeps meats lower

Grain and soybeans
Defensive night trade pressured by Cyprus troubles
May corn down 6 cents, beans off 15 and wheat 9 lower
Midwest light rain and snow mix and then another batch in four days
Watch Palmer Drought index for measure of dryness, beware of wild predictions
Dollar holding near high
Prospective plantings and Quarterly stocks 3-28
Plantings expected to record size and then it’s the weather
Double crop Brazilian corn estimate 4.8 MT is twice that of the USDA
Watch reportable export sales of 100,000 tons or more
Old crop- new crop spreads are keys to analysis from here to the end of the month