Cattle: Cash cattle last week: $143.-145.00; on 104 boxed loads cut outs dn. $.23(c) to up. $.45 (s) on good midday movement.
Comments: Mixed and choppy most of the session. After the jump in open interest yesterday it seemed apparent that same buying psychology did not reappear. Though some deferred’s might have. In the end, the discounts of futures, the rather large beef movement of late and cash cattle holding relatively well all seem backgrounding some fundamental support.
Hogs: Interior hogs dn. $1.45 Western, Eastern up. $3.03; Pork cut outs rose $.57 on a fairly quiet trade.
Comments: The eastern corn belt put back on nearly all it took off yesterday. Why? Who knows? But that move did put the spread between east and west now very narrow. Not sure if it means anything. Nonetheless, whatever cash data around it was taken bearishly as June hit with needing to track the index and July hit likely on that and weak technical. Still no evidence of PEDv induced lighter kills as some expected and I/M hog wts. still record large. Might as well add: since there are now doubts
about PEDv in the near future perhaps some ‘buying time’ going into the August contract.
GRAINS & OILSEEDS:
Corn: Choppy trade again but no major activity even as prices fall to swing lows. Certainly seemed the funds cooled off their selling short but if not, could indicate short-side saturation.
Soybeans: Bull spreads the major trade focus. Additionally, chart support basically held once more as well. Part of the old crop support likely ‘just in case’ the weekly export sales report has more drama added to it.
Wheat: Not by much but wheat held gains into the close. Oversold, saturated short and the possibility of export demand might have helped (and ahead of the weekly export sales tomorrow).