Cattle: Cash cattle last week: $150.-152.00 south & $152.-154.00 Neb. and $245.00 dressed; on 84 boxed loads cut outs dn. $2.78(c) to dn. $2.36(s) on moderate midday movement.
Comments: A combination of sharply lower hogs, concern over beef demand and expected lower live prices triggered extra selling as chart support taken out. April back to its “magic” $143.00 lower end of its trading range.
Hogs: Interior hogs mixed at dn. $2.98 (w) to up $.48 (e). ; Pork cut outs rose $2.38, loins reversed course to up $6.00.
Comments: June hogs have fallen from $133.37 to today’s $120.55 limit down move, in a relatively short period of time same as it went up. For me, I guess the market DID believe in the USDA numbers more than the funds tried to negate them.
Then there’s the record high wts. and the record high pork stocks to content with. Of course, the market may overextend itself on the downside as it did on the upside. Hence, our first objective in the $120′s June reached and we’ll see for next week. Like the rally, will be gauged day by day.
GRAINS & OILSEEDS:
Corn: Light volume and evident that the spreaders ruled the action most of the session, mostly the new crop/old crop. Very little fresh news in the form of exports or not, ethanol nor domestic consumption. Also, uneven direction from the beans/meal.
Soybeans: Bear spreading here also and also mainly the old crop/new crop variety. Seems that way in lieu of any definitive news out of China or Brazil. Otherwise a choppy session.
Wheat: Strong losses most of the day as wheat lost some of its weather concerns (especially eastern ones) and to me more especially as exports kept declining the higher we previously rallied.The world nor running out of wheat and again, with that the U.S. problems are a ‘local matter’ for now. Late session pop in corn seemed to attract late shortcovering, moderating its losses.