8/16/24
The Cattle Markets continued their expected decline today. The Fats were down 4 dollars on the lows. October’24 Live Cattle were 2.45 lower today and settled at 187.30. Today’s high was 181.07 1.2 and the 1-month high is 189.05. Today’s low was 176.75 and the 1-month low is 176.20. The current 52-week low is 168.50. Since 7/16 October’24 Live Cattle are 6.25 lower or more than 3%. The Feeders were beat-up today and were more than 6 ½ dollars lower on the lows. September’24 Feeder Cattle were 4.17 ½ lower today and settled at 239.50. Today’s high was 243.62 ½ and the 1-month high is 260.55. Today’s low was 237.15 and the 1-month low is 236.57 ½. The current 52-week low is 233.05. Since 7/16 September’24 Feeder Cattle are 20.02 ½ lower or close to 8%. The Hogs were smacked down today as well. October’24 Lean Hogs were 1.42 ½ lower and settled at 75.07 ½. Today’s high was 76.72 ½ and the 1-month high is 78.70. Today’s low was 74.67 ½ and the 1-month low is 71.32 ½. The 52-week low is 68.05. Since 7/16 October’24 Lean Hogs are 2.87 ½ higher or almost 4%. The Cattle Markets do not look good. October’24 Live Cattle traded within 55 cents of the 1-month low today and settled below all the major averages and the 50% retracement from the 52-week high/low number of 181.58. It looks like the 52-week low of 168.50 is in sight and could be targeted. The Feeders look like they are in trouble and heading lower. The 52-week low in September’24 is 233.05 and my next level lower is 231.50. I feel there is a real chance the Feeders can still break substantially from here. The Hogs followed the Cattle lower today and will need to separate from the Cattle price action if they want to head higher. I hope you have hedged everything, but if not, you need to ask yourself where the risk is… is it if the Market goes higher or lower? What happens if the Feeders break 30 more dollars? It would also be a good idea to start hedging your feed cost. If you have questions or want to see what I would do, just ask.
The Beans are still in a nosedive straight down and made another new 52-week contract low. November’24 Soybeans were 11 ½ cents lower today and settled at 957. Today’s high was 970 ¼ and the 1-month high is 1086 ¾. Today’s low was 955 and that is also the new 1-month and 52-week low as well. Since 7/16 November’24 Soybeans are 86 ¼ cents lower or more than 8%. The Corn dropped a little lower again today. December’24 Corn was 4 ½ cents lower and settled at 392 ½. Today’s high was 397 ½ and the 1-month high is 423 ¾. Today’s low was 390 and that is also the new 1-month and 52-week low as well. Since 7/16 December’24 Corn is 16 ¼ cents lower or almost 4%. The Wheat Market had a couple cent gain. December’24 Wheat was 2 ¼ cents higher today and settled at 552 ½. Today’s high was 555 ½ and the 1-month high is 581. Today’s low was 545 ½ and the 1-month and 52-week low is 539 ½. Since 7/16 December’24 Wheat is 3 cents lower or about ½%. I don’t think the Beans are done breaking yet. I still feel they will push through the 950 level and try to reach the 900 level. If they do get that low, I would expect a decent rally to occur, and then sell them again. I like the Corn Market, and feel it has a good chance to rally, especially if the Wheat takes off again. I feel the Wheat can make new 1-month highs soon. There is still opportunity in these markets, you just need to know where to look. I have been Bearish the Soybeans for a while now, and I will continue to be. I am also still Bearish the Cattle Markets, until I see something to change my mind.
-Bill
Bill Allen
Senior Account Executive
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