LOTS GOING ON HERE. It is my opinion that a Chinese Stock market crash is not out of the question. Even before year end. The dow alert. It is only up $50 on the year. FINANCIAL Stocks – call, there are many bearish items popping up daily. Protection from China Plunge potential? The Chinese market is down big already the …
Macro Overwhelming Micro
All the friendly microeconomics in the grain world might not overcome the bearish macroeconomic forces especially as we come to grips with over expanding money supply this past decade instituted via the policy of quantitative easing and not just in the United States………………………….The credit card bill is due and the Chinese might not be able to finance more deficit spending …
Livestock Report – Cattle
The cattle markets responded in a bullish manner to the Cattle on Feed report on Monday, October 22, 2018. Both markets opened higher and rallied throughout the trading session. January Feeder Cattle traded up to resistance at 152.30, reaching its high at 152.00. It settled at 151.725. Continued strength could push price up towards resistance at 153.50 and then 154.25. …
AG TIME – What’s the Difference
I have been traveling since last Wednesday, therefore no blog posts. I was fortunate enough to have been in Des Moines, Omaha, and Lincoln. All three exceptional cities populated with nice people. The weather was excellent, the Nebraska game equally as excellent. Thanks to everyone for the hospitality. It is my thought that the opportunities that present themselves now, more …
Hovering Through Harvest
Corn, wheat and beans are hovering near the lows set this past decade and it appears that there is a reluctance to press the market even though corn and bean carryover projections are very comfortable, if not excessive!…………………………………….Respect might be given to the stage of crop development in the southern hemisphere and new lows for the move might be set …
Livestock Report – Cattle on Feed
Cattle markets continued its lethargic trading on Friday, October 19, 2018. Traders seemed to be reluctant to push price in any direction in front of the Cattle on Feed report, preferring to stay range bound. Cash trade was quiet also ahead of the report. Cash has traded between 109.00 and 111.00 on a live basis and dressed at 173.00 to …
Grain Spreads: Pressure
Another two-sided trade in grains today as volatility waned as the trade looks for reasons to buy. Weather issues and a not as bearish as feared USDA report last week were reason for funds that were short corn and beans to cover. After Mondays rally that pushed beans and corn 10 percent higher from their September lows, funds promptly sold …
When Flying To Safety Gets Confusing
MACRO BACKDROP: Finally dropping my comments for this week, I say Happy October 19th to all of my readers. Today marks the 31st anniversary of the dreadful events of Black Monday. Despite this, as of 10:45 a.m. CST, U.S. markets look to be anything but “dreadful,” trading upwards a bit less than 50 basis points in the underlying S&P 500 …
Big Harvest Weekend
Bean basis levels slipping still suggests the abundance of the 2018/2019 crop and spreads might stay on the defensive with first notice day against the November contract approaching……….Also, harvest is approaching the final 40% and space issues might keep the market from sustaining any strength………………………………………Not a lot of fresh bull news to entice end users to step up and take …
Harvest Grind
It’s that time of the crop year and harvest when we start seeing just how much off farm storage space really exists……………………………..The race is still on to find a home for corn and beans and it just has to play out as its pretty difficult to hide a couple of hundred million bushels when all the bins are full………………………..Yet, after …