Pure Hedge – Livestock and Grain

Bill AllenGeneral Commentary Leave a Comment

5/13/24  There was too much pressure on the Cattle markets late in the day. June’24 Live Cattle were 57 ½ cents lower today and settled at 175.57 ½. Today’s high was 17740 and the 1-month high is 179.65. Today’s low was 174.92 ½ and the 1-month low is 172.32 ½. Since 4/12 June’24 Live Cattle are 4.10 higher or almost …

Grain Spreads: Short Covering Examined

Sean LuskGeneral Commentary Leave a Comment

Commentary This past February saw funds establish a new record short in corn at 340K contracts of both futures and options. Last week’s commitment of traders reduced the managed money short in corn to a total of 102,513 contracts as of the Tuesday May 7th close. Per CFTC, from Wednesday May 1 to Tuesday May 7th, saw the longs in …

Hogs Make New low

Ben DiCostanzoGeneral Commentary Leave a Comment

June Lean Hogs opened higher and rallied to the high of the day at 99.475. The rally took price above the rising 50-DMA now at 99.05but it couldn’t overtake the Friday high at 99.80 and price drifted. Mid-morning saw a strong cutout which pushed futures higher for a brief moment but the momentum didn’t last and it broke down the …

Hogs and Cattle Eke Out Small gains

Ben DiCostanzoGeneral Commentary

June Lean Hogs opened unchanged and ticked down to the low of the day at 97.60. It reversed and raced to the high at 99.80. The rally was over by around 9:15 CT and price gave back most of the rally by the end of the session to settle at 98.375. The rally approached resistance at 100.075 and the pullback …

Pure Hedge – Livestock and Grain

Bill AllenGeneral Commentary

5/10/24  Today’s WASDE Report was released this morning, and it looked Bullish for Corn and Wheat, but Bearish for Soybeans. However, the market reaction in the Soybeans, did not fit with the data, but it will soon. Today July’24 Soybeans were 10 ½ cents higher and settled at 1219. July’24 Corn was 13 ¼ cents higher and settled at 469 …

Grain Spreads: Xmas in May

Sean LuskGeneral Commentary

Commentary If you are planting corn this year or still have old crop corn to sell, todays numbers from USDA were Xmas come in May in my opinion. Don’t get me wrong, there is nothing inherently bullish with an old crop and new crop carry-out of 2 billion bushels. However the numbers were bullish versus expectations. USDA cut old-crop corn …

Hogs Consolidate

Ben DiCostanzoGeneral Commentary

June Lean Hogs opened higher, rallied to the high at 99.30 and then broke down the rest of the session to the low at 97.475. It settled near the low at 97.725. Hogs are in the lower end of its recent trading range, making a new low for the down move on Wednesday at 97.225 and Thursday’s trade staying within …

Pure Hedge – Livestock and Grain

Bill AllenGeneral Commentary

5/8/24  All of the Grains and the Cattle Markets were much lower today. The Soybean Market headed lower today, after running higher earlier this week, and before the WASDE Report on Friday. July’24 Soybeans were 18 ¾ cents lower and settled at 1227 ¾. Today’s high was 1248 and the 1-month high is 1256 ½. Today’s low was 1225 ½ …

Grain Spreads: No Rally to Waste

Sean LuskGeneral Commentary

Commentary Short covering has been the recent theme of the corn market as it follows beans, meal and wheat to the upside. Current managed money positioning for corn is short 195K contracts for both futures and options. Funds hit a record corn short in February at 370K. This is leaving many to believe that corn could trade significantly higher if …

Pure Hedge – Livestock and Grain

Bill AllenGeneral Commentary

5/6/24 The Feeders continued their push lower today, while Live Cattle stayed positive.  June’24 Live Cattle were 30 cents higher today and settled at 176.97 ½. Today’s high was 177.37 ½ and the 1-month high is 179.65. Today’s low was 175.80 and the 1-month low is 170.25. Since 4/5 June Live Cattle are 4.92 ½ higher or almost 3%. The …