Home Market Market Watch Seed Consultants Market Watch 1/26/2013 10:27 Weekly Column Gary Wilhelmi

Seed Consultants Market Watch 1/26/2013 10:27 Weekly Column Gary Wilhelmi

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Dow up in 10 out of last 11 days and S&P lurking near 1500, and has surpassed. Apple dominated NASDAQ fell as Apple report was negative. German DAX was up 1.25% Friday on a positive PMI. The Nikkei advanced by 2.9%.
If left alone the US economy will move forward on native inventiveness. Government intervention only muddies the water, and props up those who don’t want to work.
WTI crude had its longest up move since 2009 and Brent crude surpassed $113. UK GDP down .3% showing no growth. The dollar index is vacillating around 80 with support at 78.
The bears are growling, but the bulls keep pushing ahead.
Grain and soybean markets slip and slide lower waiting on a better measure of spring growth prospects. The long term drought remains in affect with little current chance of relief. Low water on the Mississippi slows farm selling of scant corn export demand, just 138,000 tons in the last report. China continues to buy American soybeans with record S. American crop coming. Crush margins in China favor such action. Wheat business in not motivational, as France dominates Mid East sales. Watch US plains dryness and the hot spell in Australia. Speculative crap shooters have pulled in their horns in all venues.
Ethanol production was up 1% last month but down 15% from a year ago. Brazil harvest is over 3% done in the Mato Grosso with yield above average.
Cattle are in an over sold status as were the hogs recently. Hogs have rallied as margins have moved deeper into the red. Boxed beef fell in effort to clear inventories. Cash cattle trade at $122 down $3 in Texas and Kansas, while Nebraska was reported up $1 at $123. The choice-select boxed beef spread has narrowed from $22 to $6. Weekend meat features still reflect struggling economic realities, at the common buyers level.