I must confess I am a bit tired. I am viewing the market much different at present than the conventional pieces I read. My contention is we have plenty of everything. Beans especially. Most of what I read is laying out a bull stance. Which is fine and perhaps will be correct. The meal market has had a story based …
True Grit : May Feeder Cattle
May Feeder Cattle The May feeders displayed some real grit in the last two sessions. After failing to hold a major technical level in last week’s final session the dogies managed keep it together at the previously identified second tier save level. This location at roughly 110.500 is a geometric convergence zone with both sloping lines dating back …
Ag review
The markets rebound based on the time to mull over the terrif situation. There are many changes on the horizon. The global growth in supply will continue to advance going forward. The Brazilian especially will take this ball and run with it. Look for continued fierce export competition. This will cut into the US ability to move the beans in …
Livestock Report
Live Cattle It was a wild day in the June Live Cattle contract on Wednesday, April 4, 2018. It gap (Tuesday low – 99.55 to Wednesday open – 98.925) opened lower and broke down below support (97.375) making another new low for the move at 97.075. It reversed direction from here and soared. It closed the gap and consolidated and …
Grain Spreads
At 3.00 AM central time Chicago, the Chinese announced retaliatory tariffs against a litany of U.S. products namely Soy and Corn. The announcement immediately sent corn, beans, and wheat spiraling lower amid light overnight volume. Technical damage was done and stop losses initiated. Beans broke 55 cents, Corn 16 and all wheat classes over 10 lower at one point. Early …
Tariff trade
The Chinese are announcing their measures. In my opinion, this is all about saving face. It is my contention we hold the cards. We are the engine for China’s economic growth. Period. Without the compulsive consumerism of the American public China would be in real trouble. It is my belief that China is closer to a real slowdown than the …
Livestock Report
Live Cattle The June Live Cattle contract continued on its downward spiral on Tuesday, April 3, 2018. It broke down below support (100.275) and made its way toward the 99.375 support level, making the low at 99.55. Rallies have been weak and the selling persistent. If this continues and Live Cattle breaks the 99.375 support level on Wednesday we could …
Cold as a Wagon Tire ? : April Live Cattle
April Live Cattle ” Cold as a wagon tire” is a western slang meaning dead. In today’s trading session the market failed to establish any sort of conviction as it finished slightly lower to 112.100. If they call that an attempt to prove their stability by withstanding any continued selling pressure I remain unimpressed. As touched upon in …
AG Recap
The Soy was up early and eased towards the close. There are alot of considerations. The acreage was a surprise. This obviously was a reason to push higher. the outlook going forward will be dependant on domestic supplies and the ability for the US to compete in the export arena. The Argentinian situation is dialed in. The question now is …
“Pishkun”: April Live Cattle
April Live Cattle Back in the day hunters herded and drove bison over a cliff. The Blackfoot Indians called this method “pishkun”, which loosely translate as “deep blood kettle”. To me it would seem appropriate to use this term to describe what took place in the cattle market at the end of last week when it failed to …