Home Indiana Agriculture News Seed Consultants 4/25/2013 Market Closing Comments with Gary Wilhelmi

Seed Consultants 4/25/2013 Market Closing Comments with Gary Wilhelmi


The stock markets are in a rather simmering confusion with earnings generally positive but haunted by uncertainty
Chairman Bernanke spoke today but his remarks were unsensational
The Dow ended up 24, S&P 7 better and NASDAQ 20 higher
Short gas supplies drove WTI crude up another $1.75
Gold reignited its bullish speculative fervor rallying $40
The dollar index slipped 23 to 82.81
UK GDP posted a .3% advance which is better than it’s has been doing

Cash cattle are expected to trade at $127 up $1
June cattle closed at $122.90 with a $124 resistance point
Beef margins are in the red
Boxed beef was up $1 on select
Pork demand is lackluster with cut out off $ .79
Cash hogs called $1 higher
Hog weights heavier
Exports were not motivational

Grain and soybeans
Short covering supported the nearby soybeans as did Argentine producers reluctance to sell
New crop beans were restrained by more favorable planting forecasts
New crop corn shared a similar fate
China bought 300,000 tons of 13/14 corn end 240,000 tons went to an unknown
Weekly exports were disappointing in wheat and old beans with moderate new crop bean sales. Corn barely registered to the sales gauge again
Advance forecasts are mixed so watch on a day to day basis
Bird flu has spread to Taiwan

12:12 update

Current fences:
Dow 14,000 to 14,887
June cattle $120-124
June hogs $98-92
July corn $6.10-6.40
July soybeans $13.45-13.80-14.00
July wheat $6.90-7.20

11:55 update

Dow holds up 77
Spanish protestors plan siege on congress as unemployment exceeds 27%
Argentine producers hold back soybeans on hopes on value improvement, and that ends to back fire
Bird flu now reported in Taiwan
Some good cook out weather might squeeze the over sold meats
Grain and soybeans have lacked traction on attempts to rally
Volume of trade remains light

10:14 UPDATE

Dow down 6 as weak 3M takes the upside away
Cash cattle expected at $127 up $1
Beef margins in the red
Pork cut out late off $ .79 but margins are still in the black
Gulf beans off 5 and corn steady
300,000 corn to China for 13/14 and 240,000 to an unknown
Lower dollar comes back to a 37 point loss

Market Opening Comments

Stocks higher on lowest jobless claims at 339,000 in six years
Dow up 24 early at 14,700 with the high at 14,887
UPS, Exxon, Dow and Conoco earnings best estimates
3 M falls short
WTI crude oil continues to rise $.31 to $91.83 on tighter gas supplies
Local gas hit $3.99 this morning
DAX up .7% and FTSE .2% higher
Gold jumps $29 to $1452
Dollar falls 57 to 82.45 on UK GDP
Spain’s jobless rate exceeds 27%

$126-127 bids passed by packers who are holding out for $128-130
Boxed beef up $/13 on choice and $1.03 on select
Replacement demand declines as do feed prices
Pork cutout up $ .09
Kills up 2000 on the week in cattle and 5000 hogs
Cook out delays may extend as forecasts are mixed for nest week regarding temperatures
Beef export sales 15,900 up 16% on four week average
Pork 12,200

Grain and soybeans
Light short covering in night trade
Argentine corn is $1.08 under US Gulf
Brazilian beans are $1.75 cheaper
Clear dry but temps still cooler
FND day deliveries impact spreads
Ethanol production off just 1% for month and 11 versus a year ago whereas the USDA had projected a 9% decline
Chinese poultry demand is off 70-80 % in the East
Weekly export sales: wheat 72,000 old crop low, 235,000 new, 315,000 corn with just 21,000 new and 206,000 beans with 628,000 for new crop with 534,000 to China–normal