4/22/24 Today was a great opportunity to sell into strength. Today’s move in the Cattle Markets was another second chance to hedge or put on a short position. In the Soybean Market, it was great opportunity to sell this rally. May’24 Grain Options expire on Friday, and I feel the Soybean Market will break substantially on Monday, 4/29. The Livestock …
Bullish COF Propels Cattle Markets Higher
August Feeder Cattle gap opened higher, making the low at 255.675 and rallying all session to the high at 259.50. It pulled back a touch at the end of the day to settle at 258.475. The Cattle on Feed report was the driving force for the rally, in my opinion as placements came in less than anticipated. The rally took …
Grain Spreads: Three Reasons in Wheat
Commentary Wheat saw a continuation rally that posted strong gains. Chicago wheat up 20 cents, KC up 19 cents. Minneapolis is up 10 cents. First, Indian government data shows wheat stocks at the beginning of April totaled 7.5 million metric tons, down from the 8.35 metric last year. The stockpiles are at their lowest level in 16 years as the government …
Hogs End Week Strong While Cattle Consolidates
June Lean Hogs opened lower and made the low at 102.25. It reversed course and rallied the rest of the session, making the high at the end of the day at 104.975. Settlement was near the high at 104.825. The rally took price past resistance at 104.35 and the 13-DMA now at 104.825. It settled right at the 13-DMA. Strong …
Hogs Consolidate
June Lean Hogs opened lower and traded down to the low at 101.175. It tested the April 15th low at 101.075 and was able to bounce. The rally stalled and a retest of the low took place and it was higher. Bulls came into the market and rallied price the rest of the session to the high at 102.825. It …
Pure Hedge – Livestock and Grain
4/17/24 Not much price action today in the Livestock Markets, but the Grains continue to whip around. Today June’24 Live Cattle were 40 cents lower and settled at 175.32 ½. Today’s high was 176.10 and the 1-month high is 186.32 ½. Today’s low was 174.37 ½ and the 1-month low is 170.25. Since 3/15 June’24 Live Cattle are 8.40 …
Grain Spreads: Creamed Wheat
Commentary Technical levels took a decisive turn lower here today with more weakness likely in wheat in my opinion. KC wheat closed near the lows and well below the 50-day moving average today. May Chicago wheat closed 12 3/4 cents lower to $5.37, while May KC wheat dove 14 3/4 cents to $5.72 3/4, each closing near the session low. …
Cattle Markets Bounce Back on Monday
May Feeder Cattle opened higher, made the session low at 234.70 and then rallied to the high at 239.50. Price pulled back, consolidated and settled at 238.00. The rally took price past the declining 8-DMA now at 238.225and resistance at 238.35. Resistance held with the settlement below both levels keeping bears in control of the market, in my opinion. The …
Grain Spreads: Beans Fall Back
Commentary May soybeans finished down over 15 cents which basically nullified Friday’s rallies in today’s session. Price action was weak all session as energy prices retreated following Iran’s attempted strike against Israel over the weekend. This morning’s export inspections showed that the seasonal decline in soy shipments may continue. Loadings last week totaled 430K vs 530K a year ago. The …
Pure Hedge – Livestock and Grain
4/12/24 Wow, there was some vicious price action today. I think this kind of volatility is here to stay. I am still Bearish the Cattle and Soybean Markets. If they don’t break these beans before May Options expire, I would expect a huge move lower in July’24 Soybeans the next trading day or week. The Livestock Markets were …