Home Indiana Agriculture News Seed Consultants 5/7/2013 Market Update with Gary Wilhelmi

Seed Consultants 5/7/2013 Market Update with Gary Wilhelmi


All aces in stock indexes as Dow, S&P, NASDAQ and DAX hit new highs
Global stimuli incites rally
WTI crude off $.57
Gold falls $16
Dollar index shaves just 4 points
Very few reports it’s all upside momentum

June cattle off $.47 and June hogs up $ .37
Cash cattle offer $130
Boxed beef up $ .16 on choice
Choice beef over $200 signals possible seasonal peak
Pork mixed
A cut back in hog kill may be in the offing in reaction to cutout
Pork exports down 18% and beef just fair

Grain and soybeans
Beans rally versus corn as plantings of corn accelerates
Weather promising out through next week
Spring wheat 23% planted versus a 50% norm, but into a good seedbed
Brazilian farmers holding soybeans due to lower prices
Ethanol margins improved
Interior corn bids firm as users scramble for limited old crop supply
Good rain in Dry parts of Australia
Iraqi floods nay cut wheat crop by 25-30%
Outside markets are given no heed

10:07 update

Light boxed beef trade at 126 loads
Pork demand pales
Beans gain on corn
Nov bean resistance is at $12.40 ¼
6-10 forecast promising for plantings
Spring wheat 23% down versus a 50% norm
Abandonment 7% in the Dakota’s and 2% in Minnesota
Equities, rest on oars, near highs

Scant economic measures today
Consumer credit at 2 PM expected at $16 b
WTI crude down $.45 at $95.68
Gold $1466 off $9
10 year 1.78%
Interest rates will eventually raise putting bond holdings at risk
Global deflationary environment is hard to deal with as there is not much a track record
FTSE up .4$, DAX .7% higher
Japanese stocks 3.5% higher on lower yields and better jobs report
Japanese society is too old, not as many young are staying home and immigration is not allowed so the creative pump is not properly primed
Dollar index 82.18 off 12
Euro dollar days thought to be limited, as one currency among a multiplicity of cultural beliefs, has not worked

Cash cattle offer $130 in south
Choice boxes off $1.50
June cattle are $8 over cash
Packer margins improved and that means larger slaughter in cattle
Kill Monday 122,000 with hogs at 408,000
Pork cutout off $ .12 with loins up $ .94, hams up $ .94 and bellies down $.80
Pork export down 18% and pork production down 1%, which means pork per capita, is up 3%

Grain and soybeans
Light short covering over night
Corn planting at 12% versus a 47% average, but we are now at full throttle
In 1994 plantings were at 10% and yields ended up just slightly lower
A yield of about 160 bushels per are still seen possible
Corn carry over still seen at 2 billion +
Soybeans plantings just starting at 4% in the south
Wheat crop rating off 1% in g-x
Financial markets point in no direction this morning