Market Closes - April 9, 2014

Posted on Apr 9, 2014
Corn futures moved higher upon release of the bullish corn ending stocks forecast; unfortunately, the rally was very brief before prices fell sharply within 15 minutes and the rest of the day saw volatile prices.  This price reversal creates bearish chart patterns.  The break in wheat futures also weighed on corn prices.

Soybean futures had good news in its WASDE update as the 2013-14 carryout forecast is approaching the lowest practical level. Despite the friendly report, soybean futures experienced extreme volatility the rest of the trading day, hitting lows one hour after the high was set. May Soybeans had a price range of 26 cents during that hour.  Soybeans’ closing gains benefited from a sharp rally in soybean oil at the close.  The Soybean charts look friendly with new highs and closes made today.

 The USDA supply-demand estimates released today are: Corn 1.331 billion vs 1.403 trade guess Exports raised 125 million bushels. Soybean 135 million vs 139 trade guess. Exports raised 50 million; imports raised 30 million. Wheat 583 million vs 578 trade guess Feed use cut 30 million bushels.

 Cattle futures closed higher with Feeder Cattle having the best gains on the drop in corn futures.  Cattle futures are in the third day of correcting the huge drop last Friday.  Choice carcasses down 1.53 at 225.46; Select carcasses down 1.74 at 215.23/cwt. 

Lean Hog futures closed the pit session at 1 pm CT with sharp gains as the pork cutout values were quoted over $2/cwt higher.  However, pork values took a dive in the afternoon with the FOB Plant value down 2.89 to 126.95/cwt. The drop resulted from huge price drops in hams and bellies.  Therefore, late afternoon GLOBEX trading shrunk the earlier gains in LH futures. For example, JUNE LH ended at 120.50.

Financial markets moved sharply after the Federal Reserve minutes were released which showed that the FOMC is less likely to raise interest rates.  FOMC no longer has a fixed unemployment rate target of 6.5%.  The tapering of the FOMC’s bond buying program will continue.

Corn May -5 502; Jly -5 508; Dec -7 505 (501-17) Bean May +13 1495; Jly +16 1478; Nov +10 1227 (1215-34) Meal May +4 482; Oct +1 384 Oil +80 4291 Wheat May -12 669; Jly -12 677 (671-95) KC Jly -9 740;  MGE -9 719 Oats -11 424 Rice -7 1550

LC Apr +42 14375; Jun +35 13562; Oct -7 13827 FC Apr +57 17887; May +135 18022; Aug +127 18185 LH Apr +172 12502; Jun +300 12175; Oct +70 9990 Milk Apr -2 2400; May -24 2134

US$ -.3%

Dow +181 16437 SP +20 1872 NAS +71 4184 Tran +122 7591 VIX -1.07 13.82

WTI +87 10343 Brent +13 10780 Gas +1 299 NG +2 456 HO +2 295 Eth -1 228

Gold +4 1313 Slvr -19 1986

2-yr -.04 0.36% 5-yr -.04 1.625% 10yr +.01 2.69% 30yr +.03 3.57%

USDA Announces Sign-Up Date for Disaster Assistance Programs      Enrollment Begins April 15 for Livestock, Honeybee, Farm-Raised Fish Programs U.S. Department of Agriculture (USDA) Farm Service Agency (FSA) Administrator Juan M. Garcia announced that farmers and ranchers can sign-up for disaster assistance programs, reestablished and strengthened by the 2014 Farm Bill, beginning Tuesday, April 15, 2014.    CLICK HERE to read more.

KENTUCKY CASH GRAIN PRICES Click Here 

KENTUCKY LIVESTOCK AUCTIONS --  Click Here

 

Tagged Post Topics Include: Economics, Market updates