Commentary A technical bounce came to the wheat contract for no more of a reason than speculators trying to cherry pick a near term low in the market. US winter wheat ratings improved 3 points this week to 34% G/E. Oklahoma’s crop led the lift with an incredible 20-point gain. The complex staged an impressive rebound given the magnitude of …
Livestock Report
Walsh Trading Daily Insights Commentary July Lean Hogs gap opened higher and surged, building upon Tuesday’s limit up move. The rally took price just past resistance at the declining 21-DMA now at 83.525 to the session high at 83.775. Settlement was nearby at 83.325 and the low was the opening price at 80.35. The gap is from the Wednesday low …
Grain Spreads: Forecasts Pressure New Crop
Commentary Forecasts that are strongly favoring EL Nino type weather pattern of cooler and wetter starting mid-favored pressured grain contracts across the Board in my view. The cooler and wetter should it verify could offer relief for parts of the Midwest, that are currently besieged in long term drought, (Eastern Nebraska). Or a flash drought like Northern Illinois as Chicago’s …
Grain Spreads: Corn Closes Above $6.00
Commentary It is my belief that weather trade positioning ahead of the three-day weekend drove the market today. Corn futures rallied double digits with the Midwest weather models showing 15 days of dryness for at least 75% of the corn belt. The USDA says it will produce its first G/E ratings for the US on Tuesday. The basis chart shows …
Grain Spreads: July23/Sep23 Corn
Commentary July23/Sep23 corn rallied again up another 6 cents on strong volume with over 37K contracts trading today on the calendar spread. Historically it is a very strong inversion and the spread looks poised to test the previous high at 84 cents July over. (See Chart) Outright July corn is being aided by a combination of short covering amid an …
Livestock Report
Walsh Trading Daily Insights Commentary July Lean Hogs continued on its destructive path on Tuesday. It opened higher and made the session high at 82.475. It fell apart and traded to the session low at 79.725 by 9:40 AM CT. It rebounded and settled at 80.975. The pessimism in the Hog market is unnerving. The cash market has been climbing, …
Livestock Report
Walsh Trading Daily Insights Commentary July Lean Hogs is now the lead contract as its volume has overtaken the volume of the June contract. It opened higher and rallied to the session high at 84.275. It turned around and fell to the session low at 81.925. It consolidated the rest of the session and settled at 82.15. The breakdown took …
Grain Spreads: Inter Market Wheat Spreads
Commentary KC wheat futures had rallied approximately $1.83 from the early May lows to the spike right before the grain corridor extension last Wednesday. Today, July KC wheat closed at 8.25 which is a 50 percent retracement from the monthly high/low. Russia continues to complain but finally agreed to the extension of the grain agreement last week. The clock restarts …
Livestock Report
Walsh Trading Daily Insights Commentary June Lean Hogs came under intense pressure on Wednesday as traders caved after a strong open that saw price test resistance at the 50 –DMA now at 87.75. The strong open saw price reach a new high at 87.825 and the ensuing collapse took price to the low at 84.325. Settlement came in at 84.875. …
Grain Spreads: Grain Deal Extended
Commentary Turkey’s President this morning announced the extension of the Black Sea grain export deal for two months, past tomorrow’s deadline, after the last remaining ship left Ukraine’s ports yesterday as inspections ticked lower this month due to safety concerns. Russian officials confirmed the agreement but continue to note issues with their own exports and global food security. Corn futures …