Another risk off day on recession fears spilling into the commodities. However, cattle have been consolidating and cash trade looks a little weaker, so is this action confirming a blow off top? Hogs aren’t seeing any follow through buying after yesterday’s reversal and corn and beans are lower so how much downside risk is there in those markets? Scott Varilek, Kooima Kooima Varilek has details.
Another Risk Off Day Causes Selling in Commodities: Are Cattle Confirming a Blow Off Top and What’s the Downside Risk in Grains?
Another risk off day in commodities. Cattle consolidate with weaker cash, while hogs aren’t seeing follow through buying. Row crops are lower but how much downside risk is there? Scott Varilek, Kooima Kooima Varilek.
April 20, 2023 09:11 AM
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Shawn Hackett with Hackett Financial Advisors says the market was removing China premium after the disappointing summit as the market wanted more details on ag purchases.
Scott Varilek with Kooima Kooima Varilek says cattle futures are back trading higher with their huge discount to the record cash trade. He says cash trade could get even crazier.
Grain markets crashed on Thursday with profit taking and fund liquidation tied to disappointment over the lack of agricultural purchase agreements during day one of the U.S. China summit.
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