August Live Cattle surged to a new high for the recent up move, trading to 177.25 and settling at a new all-time high settlement for the lead contract at 177.175. The low was at 173.75. The USDA shocked traders by finding more corn acres planted than analysts’ estimates which sent corn spiraling to its May lows for the December contract. …
Grain Spreads: A Tale of Two Reports
Commentary A day of a few surprises to end the week, month, and 2nd fiscal quarter. Corn futures fell to its lowest level since May 23 in the wake of a very bearish US acreage figure in my opinion. USDA estimated corn plantings at 94.096 million acres, up 2.1 million acres from March intentions and 2.243 million acres more than …
Walsh Trading Daily Insights
Commentary August Live Cattle continued its recovery on Wednesday, trading higher and testing resistance at 174.425, making the high just above it at 174.55. It settled below resistance at 173.875 with the low coming in at 172.30. Cash has traded lower in the South but hasn’t established any real volume and all is quiet in the North. Cutouts have been …
Grain Spreads: Harvest Pressure in Wheat
Commentary It was the second straight session of heavy selling in wheat, as KC or HRW led the way lower. As wheat followed corn and soybeans higher, it has reversed in tandem with corn and beans in my opinion. US wheat remains overpriced versus overseas markets. US HRW (hard red winter)is still $100/mt over Russian origin. It is my belief …
Grain Spreads: Rains Emerge For Some
Commentary Good rains fell over the weekend in the Dakotas and the northern half of Nebraska, into the bulk of Minnesota and Iowa, stretching into northern Illinois as well. Multiple systems this week could bring rain chances to the north early on, then further south later into the week and weekend; 6–10-day maps push the heaviest rains into the southern …
August Hogs Can’t Hold Early Rally
August Lean Hogs burst out of the starting gate and raced to the high of the day at 92.80. It couldn’t sustain the enthusiasm and broke down the rest of the session, making its low at 89.90. It settled at 90.05. The rally stalled just above resistance at 92.375 and the fall took price below support at 90.40. It put …
Cattle on Feed Placements Higher than Expected
August Live Cattle traded both sides of unchanged as it laid in wait of the looming Cattle on Feed report. The report was released after the bell and saw placements come in higher than expected, with expectations for an increase in supply of 1.7% and the actual report showing an increase of 5%. Placements increased in each of the weight …
Grain Spreads: Wheat Plays Follow the Leader
Commentary In my opinion wheat is following along with the recent corn and soybean rally. That said crop condition ratings of Corn, Soybeans, and Minneapolis Spring wheat have worsened though the plunge in Spring wheat ratings may have spurred additional buying. However, with the winter wheat harvest accelerating and the SRW crop being relatively large, this market is likely to …
Livestock Report
Walsh Trading Daily Insights Commentary August Lean Hogs is now the lead contract as its volume has surpassed the volume of the July contract. August Hogs gap opened higher and rallied to an early high, then reversing course, closing the gap and trading to the session low at 91.05. Price turned higher and rallied the rest of the session to …
Grain Spreads: New Crop Corn
Commentary Beans and corn futures for new crop delivery traded sideways today. The overnight rally faded by this AM which was then followed by a double-digit dip in price. However, weather forecasts that are contradicting each other that bring much needed rains in and out of the grain belt haven’t verified yet. Just too many unanswered questions right now for …