Grains Slightly Higher Before USDA Numbers
Mar 08, 2013
Good Morning! Steve Georgy with early morning comments for March 8, 2013 at 5:05 am. Grains are moving higher this morning as we approach the USDA report at 11 am central time. The last few days we have seen traders re-positioning and corn is down almost 15 cents for the week so far. Beans have rallied 33 cents for the week and wheat has fallen 27 cents. The trade is expecting to see increased ending stocks for corn and wheat and slight decline for bean stocks. Beans may not change too much on US ending stocks but South American numbers will be watched closely. Brazil’s production number shouldn't change but Argentina is expected to drop due to all the weather problems they have been seeing over the last several weeks. After this report the trade will shift its focus to the acreage/quarterly stock report at the end of the month. The dollar has been influential to commodity prices as of late and is stronger this morning. April cattle are higher at this time as box beef continues to climb. We have seen a sharp rally this week in wholesale beef with choice up .82 (196.90) and select up .29 (195.09) yesterday. Cash cattle traded 128.50 in Kansas this week which is up .50 from the prior week. Hogs took a big jump yesterday due to talks with China improving. Also traders were short covering after the huge decline in hog prices over the last month. The big story today will be the USDA report so expect positioning ahead of the 11:00 release. Please fill out the Allendale Planted Acreage Survey before Friday’s close. We will be releasing the results by email on March 15.
Markets as of 5:00 AM
- May #Corn +2 3/4
- May #Beans +3 3/4
- May #Wheat -1 1/4
- Apr Cattle +.15
- Apr Hogs -.37
- Mar Dlr +.02
- Mar S&P +5.75
- Apr Crude +.02
- Apr Gold +1.70
Contact Allendale: 800-262-7538 service@allendale-inc.com www.allendale-inc.com
