Market Closes - June 2, 2016

Posted on Jun 2, 2016

CBOT futures closed steady to sharply higher. The old-crop soybean meal and soybean markets led the market higher through mid-morning. The soy market is supported by commercial cash demand (US exports benefit from Argentina’s problems) and heavy fund buying.  While those contracts continued to rally into the closing bell, other futures backed down. Corn actually closed near the day’s lows. However, corn futures rallied to new highs for this move. Corn’s highs challenged the highs set last October. $4.21 in the July Corn is a key resistance point. The next resistance point would be 4.43 from the nearby contract chart. Chicago and KC Wheat closed above the May trading range, supported by short-covering and the higher soy markets. Excessive rainfall in the southern Plains is supportive. Traders also are encouraged by a turn to warmer and drier outlooks by NOAA.

Cattle futures closed higher as traders are optimistic about the cash cattle and beef markets.  Choice beef ended up 0.93 at 223.28; Select up 0.24 at 201.41.

Lean Hog futures closed strongly higher as futures extend the 6-7 day rally off recent lows. The strong cash hog and pork markets are supportive even with the June LH contract’s premium to cash. FOB Plant Pork closed up .75 at 86.37 thanks to big gains for bellies and ribs.

Corn Jly +1 415; Dec unch 417 (415-20)

Bean Jly +44 1144 (1101-46); Nov +13 1082 (1068-88)

  Meal Jly +19 418; Dec +4 379

  Oil +7 3226

Wheat Jly +12 485 (473-87); Dec +11 514

  KC +8 464; MGE +3 532

Oats unch 191

Rice +37 1137

 

LC Jun +30 12172; Oct +25 11720; Dec +22 11715

FC Aug -2 14640; Oct +42 14372; Jan +52 13575

LH Jun +87 8202; Aug +165 8387; Oct +100 7017

Milk Jun +20 1307; Jly +41 1350

US$ +.2%

Dow +49 17839

SP +6 2105

NAS +19 4971

Tran -10 7763

  VIX -.57 13.63

 

WTI +5 4906

Brent +21 4993

Gas +1 163

NG +3 241

HO +1 150

Eth +1 166

Gold -2 1210

Slvr +8 1601
 

2-yr -.016 0.887%

5-yr -.034 1.351%

10yr -.044 1.802%

30yr -.047 2.579%