Kleist Comments

CLOSING AGS 1/23/14
CLOSING AGS 1/23/14

Cattle: Cash cattle this week: $147.150.00. On 60 boxed loads cut outs dn. $1.35(c) to dn. $1.43(s) on light midday movement.

Comments: Let’s call it a consolidation, albeit a very thin-looking on with high volatility. I have suspicions over the volume yesterday, that many times signals a change in trend. However, last time I questioned Feb.’s discount to the live a few week’s ago I was run over. Is this time different?

Maybe, of course. I understand retailers were anxious to get bookings in as soon as possible (damn the torpedo’s!) ahead of Super Bowl promotions…. that booking will be done with this week.

Hogs: Interior hogs, Not/Est.; Pork cut outs fell $.68, mixed trade.

Comments: Sloppy, slow trade with the ‘boys’ (locals) more interested in the cattle action. Otherwise, no new talk of ‘cold-dead’ hogs and PEDv-dead pigs. Logistics for pork (and beef) likely a problem.

GRAINS & OILSEEDS:

Corn: Modest gains in a slow-looking trade. The support off cash being met by caution as for now just an underlying feature.

Soybeans: After hitting our chart resistance area, March beans turned tail not so much on aggressive selling as it was lack of aggressive buying. Talk of a larger Brazil early-planted harvest getting under way this weekend and the still-prevalent China concerns likely stalled the market.

Wheat: Higher close but in context, not much however. Apparent winter kill worries, along with grossly oversold conditions backgrounded the strength.

Kleist Comments

This is John Kleist, of Kleist Ag Consulting.
Questions? Email me: johnwkleist@sbcglobal.net

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