Market Closes - July 1, 2013

Posted on Jul 1, 2013
While the JULY corn and soybean contracts are the most volatile and interesting now that they are “in delivery”, cash bids are generally based on the next contract such as August Soybeans or September Corn.  The JULY CORN contract rallied mid-morning to a new high before profit-taking and long liquidation kicked in to create a huge loss at the close. The new-crop DECEMBER CORN contract also sold off to close at a new low for this move and breaking chart support.  This isn’t surprising given the bearish USDA Corn acreage published Friday.

Soybean futures also traded off the day’s highs with NOVEMBER closing lower.  Losses in corn futures may have promoted profit-taking in the soybean pit. As traders sold soybeans, they appeared to buy back old sales (on spreads) of soybean oil as AUGUST soybean oil closed higher for the first time in many days.

Corn and soybean crop conditions improved in the latest USDA report (see below.

Live Cattle futures closed higher but well off the midday highs. News of weakening boxed beef values encouraged selling. Choice beef lost 0.86 to $196.64/cwt and Select beef dropped 1.37 to 185.78.   Feeder Cattle futures soared on falling corn prices.

Lean Hog futures closed little changed but near the day’s lows. Weaker cash and pork values heading into the holiday weekend may have promoted profit-taking. However, futures remain near the top of the 1.5 month rally.  FOB Plant Pork cutout dropped 1.54 to $108.41/cwt.

Corn Jly -24 655; Sep -16 531; Dec -10 501

Bean Jly +6 1570; Aug +5 1436; Nov -9 1243 Meal Jly -5 485; Dec -8 366 Oil +43 4685

Wheat Jly -3 646; Dec -2 669; Jly’14 +1 699 KC unch 677;  MGE -6 779

Oats -6 395

Rice +1 1575

LC Aug +15 12217; Oct +45 12612; Feb +42 12920

FC Aug +177 15122; Oct +170 15485; Jan +160 15657

LH Jly -20 10107; Oct unch 8580; Feb -10 8370

Milk Jly +53 1741; Aug +54 1831

US$ -.2%

Dow +65 14975

SP +9 1615

NAS +31 3434

Tran +68 6242

VIX -.49 16.37

WTI +150 9806

Brent +85 10301

Gas +3 275

NG +3 360

HO +2 288

Eth -6 239

Gold +28 1251

Slvr +12 1957

2-yr unch 0.36%

5-yr -.02 1.38%

10yr -.01 2.48%

30yr -.02 3.48%

 

18-STATE CROP PROGRESS AND CONDITIONS   (Note how similar corn and soybean condition ratings are.) Corn Silking: 3 pct vs 22 pct a year ago and 9 pct for 2008-12 average.

Conditions: Good/Excellent = 67 pct vs 65 pct last week and 48 pct year ago. Poor/Very Poor =  8 pct vs  8 pct last week and 22 pct year ago.

Soybeans Planted: 96 pct vs 100 pct year ago and 98 pct for 2008-12 average.

Conditions: Good/Excellent = 67 pct vs 65 pct last week and 45 pct year ago. Poor/Very Poor =  7 pct vs  7 pct last week and 22 pct year ago.

Winter Wheat Harvested 43 pct vs 73 pct last year and 52 pct for 2008-12 average.

KENTUCKY CASH GRAIN BIDS Click Here

Tagged Post Topics Include: Economics, Market updates