Home Indiana Agriculture News Seed Consultants 5/8/2013 Market Closing Comment with Gary Wilhelmi

Seed Consultants 5/8/2013 Market Closing Comment with Gary Wilhelmi


Fifth straight new high on S&P up 7
Dow 49 better at new high
NASDAQ up 16
Hints of bank credit loosening, but not definitive
Dollar index off 35 at 81.93
Gold up $23
WTI crude closed $ .50 higher
Economy still sluggish, but Fed money printing and bond buying drives equities higher
DAX index was up .8%

Mixed meats with cattle off $.77 to $$120.07 on June at support
June hogs $.57 higher at $91.97, at mid range
Choice boxed beef jumped over $3 to $204.45, but demand is still selective
Features slanted toward the cheaper cuts of meat
Hog slaughter weights off 1# to 276.8

Grain and soybeans
July beans again gain on July corn
Corn off 7 cents on good looking planting forecast into next week, with intervening showers Thursday
Rains in plains hurt wheat values by a few cents
China routinely buys 115,000 tons of soybeans
China bought 4 MT of beans in April up from 3.6 MT
Chinese crushing industry may be glutted later this spring
S/D report Friday is just statistical guess work, as the forts survey crop estimate will not be until August
Minor jockeying of S American corn and soybean estimates seen on Friday
Black sea wheat is coming on line
Dollar index lower but in range

10:09 update

Dow off 26, S&P down 4 and NASDAQ up 8
Cattle and hogs up a shade
Beef demand at record high choice beef is softening
Cash hogs called lower
Pork margins deeper in the red
Rains in the plains
Black sea wheat entering the market
Dollar lower but in range
China bought 4 MT of US beans in April up from 3.6 MT
115,000 tons of beans to China
6-10 forecasts look good for plantings
S Korea buys 69,000 tons of S American corn
Asian buyers, looking ahead are seeking corn due to planting delays
Gulf corn bids are steady


Stocks holding at highs
Morgan Stanley projects 16,000 on the Dow this year, with last at 15.056
Signs of bank loosening of credit
McDonald’s sales off .6% in April
Global stimuli propel stocks
Chinese trade at a surplus in last month
Aussie dollar gains on US dollar with index off 42 at 81.87
Whole Foods up 5% as consumer earnings become the feature
Gold bounces back $18 to $1416 in a speculative frenzy
WTI crude oil $95.75 with Brent off on US supplies
DAX up .4% and FTSE .2% higher

Few cattle trade at $126
$125-130 b & a
Choice beef up $.93 and select $.56 better
Choice at $201 at record high
Features $5.98 choice T-Bone $3,99 stew meat, $3.99 top round, $1,79 pork steak and $1.49 whole Perdue fryers
Cattle slaughter may years high this week
Iowa-Minnesota hogs off $1.76
Pork cutout up $.91 with loins $1.39 higher, hams $4.99 and bellies down $5.11

Grain and soybeans
A little wetter weather forecast, but over all plantings conditions look good into next week
Wet spring supports the immortal weeds
S/D Friday with minor adjustments
No survey estimate for months
Nearby spread at record levels with May/July corn at 37 cents and beans at 84
Argentine corn and soybeans seen a touch lower and Brazil 1MT higher in corn and 500,000 lower in beans
Brazilian framers holding due to lower prices and logistical problems
Ethanol production up slightly
Commodities have diverged from record high stocks