Kleist Comments

MORNING MEATS  6/24/13
MORNING MEATS 6/24/13

MORNING MEATS  6/24/13
****************

CATTLE: Cash cattle last week $120.-121.50, Neb dressed $195.00; on 95 boxed loads cut outs: choice up. $.09 at $199.39, select up. $.34 at $186.02 on moderate/light demand. Carcass Equivalent: $183.79 up. $.04.

COMMENTS: Let’s see now: Cattle-On-Feed report slightly negative on placements; as before, I fuse the marketing number with the cold storage stocks and this time I come up bullishly on it (near term); open interest fell 6,006 led by June/Aug. off 770 amid strong volume…..near term negative? Break out all shortcovering?…..C-O-T report leaned bullishly. Let’s see if breaks hold with a likely buy area August $120.57-120.00; likely bull defense -$119.55.

HOGS:

Interior cash hogs yesterday lower at dn. $.16/$1.32 rough avg. $99.00; cut outs up. $1.60 @ $107.26; lean index as of 06/20 @ $104.23 up $.04.

COMMENTS: Cash hogs steady early. Cold Storage report posts a new record high May quantity but has so for several months now and no one seems to care (one day could be a potential problem IF slackened export demand was replaced by increased freezer demand to Mask it); Pig Crop Friday; open interest fell 1965 led by July/Aug. amid light volume; C-O-T report: leaned bearish; still leaning to sell-rallies, near term resistance $100.25-100.75; bear defense new highs for now.

***Note: like beans, some believe China’s economic troubles are bullet-proof for pork imports. Won’t bet the house on that.

Kleist Comments

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

Disclaimer: Trading options and commodities involves risk of loss and my not be for every investor. Past trading results may not be indicative of future performance. Although information and opinions provided herein are compiled from sources believed reliable, the sender, EBOT Trading, or its principals cannot attest as to accuracy or assume any responsibility for any errors or omissions as the information may not be complete or events may have changed.