Kleist Comments

PRE-CLOSING AGS 3/10/14
PRE-CLOSING AGS 3/10/14

Cattle: Cash cattle last week: $147.-148.00 to 150.00 (Neb.) and $237.-240.00 dressed North; On 41 boxed loads cut outs up. $1.42(c) to up. $1.95(s) on midday movement.

Comments:

Hogs: Interior hogs mixed at up $168 (E) to dn. $3.15 (I/M); Pork cut outs rose $1.26, on bellies & loins.

Comments:

“Quick comment here: not sue why but the panic buying in futures returned with a +$3.00 loss in western corn belt.”

GRAINS & OILSEEDS:

Corn: USDA: Carryover 1.45 bln.bu. off 25mln.bu. all due to export raised 25 mln.bu. and 30mln.bu. under avg. trade estimates…..either way, what’s 25 or 50mln.bu. among friends? World carryover rose 1.2mln.m/t’s; both Argentine and Brazil corn estimates unchanged on month. Avg. farm price $4.25-4.75 up $.05/dn. $.05 on month. The current futures market has been a demand driven one, remains to be seen if this report keeps importers from recent panic buying.

Soybeans: USDA: Carryover 145mln.bu. off 5.0mln. as an increase in exports of 20mln.bu. was partially offset by a decrease in the crush (10mln.) and increase in imports (5mln.); world carryover 70.6mln.m/’s dn. 2.5mln.m/t’s, mostly Brazil’s crop off 1.5mln. to 88.5mln.m/t’s; Argentine crop unchanged at 54mln.; avg. farm price $12.20-12.70 up $.25. Nothing bullish here but will it prompt China cancellations (one of the reasons beans supposedly are lower is the logic—Lower China export data equals lower imports (trade deficit)—-well not necessarily beans but…..China ports said full up and pig/poultry production down.

Has been in part a money squeeze, will see if it’s over.

Wheat: USDA report: carryover 558mln.bu. due to NO changes in supply or demand; world carryover then was 183.8mln.m/t’s up nominally on month; avg. farm price $6.75-6.95 unchanged. Pretty neutral, eh? I believe a big part of this market is the PERCEPTION (for now) exports will be hurt in the general Black Sea area.

Kleist Comments

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

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