Wake Up Call 10-7-13
Oct 07, 2013
Good Morning! Paul is out of the office this week, celebrating his 40th anniversary. In place of his usual morning notes, Paul thought it would be a good idea to give our non-subscribers a taste of some of our other reports. Have a great week!
Corn 10/4/13: Once again a mainly calm trade was seen today with a little support found from an end of week buy back of shorts combined with a little rain. It is hard to get too excited about a turnaround yet with today’s bounce coming on the 2nd least amount of volume since December became the lead traded month. Trade is likely getting bored with the constant talk of better than expected yields. It isn’t that better yields are not bearish but we have been looking at that same news for over two weeks now.
Soybeans 10/4/13: The bean market generated a nice technical bounce to end the week. News continues to be lacking with the government in a partial shutdown mode. This has kept trade volumes low so it does not take much to move the market in one direction or another. Informa did give the market some news to trade when they lowered their national bean estimate to 41.7 down from their previous estimate of 42.4. The latest USDA estimate was a 41.2 bushel crop. Informa put the total bean production at 3.176 billion bushels while the last USDA production estimate was 3.149 billion bushels. With the government closed it is looking more and more likely that the October WASDE will be delayed until an undetermined date.
Wheat 10/4/13: Statistics Canada estimates for Canadian wheat production came out as expected at 33 mmt for the 2013/14 wheat crop. The news did not have a large effect on the markets. The wheat complex finished lower on the session due to profit taking before the weekend as speculators are getting out of the markets as there is no fresh news due to the government shutdown.
Lean Hogs 10/4/13: Though there is no government report to provide solid data we would guess this week’s cash hog trade fell by about $2. A hangover from last Friday’s Hogs and Pigs report is still being felt here. Don’t forget this is seasonally the time for cash markets and December futures to post a solid decline into late November.
Live Cattle 10/4/13: Futures started off lower Thursday night on the steady/lower Thursday afternoon cash sales. During the day session today though we saw bids move up to the $126.50. That really helped market opinion and the December and further back months posted new highs for this uptrend.
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Markets as of 5:00 AM
- Dec Corn UNCH
- Nov Beans -1 3/4
- Dec Wheat +2 1/2
- Dec Cattle Stdy-Lwr
- Dec Hogs Stdy-Hghr
- Dec Dlr -1.30
- Dec S&P -15.25
- Nov Crude -1.12
- Dec Gold +.30
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