Market Closes - September 17, 2012

Posted on Sep 17, 2012
 Today’s limit down closes in Soybeans and Soybean Meal means the daily limit expands by 50%; starting at 5 pm CT, soybeans will be able to trade $1.05 per bushel (up or down).  Corn and Wheat futures will have the normal daily limits.

  The sell-off in the CBOT started overnight with Chinese grain futures moving lower.  Then the weekly soybean export sales were disappointing even though overall soybean export demand has been very strong.  Harvest pressure is picking up with corn at 25% and soybeans at 10%.  Also rain in Brazil benefiting the next bean crop was credited for the selling.

  Outside market pressure was evident as traders swung to “risk off” due to uncertainty in the Euro Zone debt resolution.  The spec funds were selling briskly today and the sharply lower prices brought on more selling. Today’s selling made only a small dent in their total LONG positions.  Price direction is mostly in the hands of these funds.

   Despite higher boxed beef values today, the “risk off” trade and bearish outside markets took Live Cattle futures down.   Choice UP 1.51 at 193.05; Select UP 1.78 at 182.46.

  There’s nothing in the market to hold Lean Hog futures up following the strength seen last week. The trend seems to still be down but prices are almost $3.00 above recent lows.

Corn Dec -34 748; Mar -33.5 752.5; Dec’13 -19.5 641

Bean Nov -70 1669; Mar -70 1633; Nov’13 -57 1341   Meal -20 limit 503.5   Oil -199 5498

Wheat Dec -46 878; Mar -46 890; Jly -30 862   KC -47 901; mge -47 931

LC Oct -155 12550; Dec -162 12830; Apr -82 13565

FC Sep +32 14532; Oct +37 14700; Jan +42 15072

LH Oct -65 7337; Feb -77 7917; Apr -117 8565

Milk Sep -2 1885; Oct -13 1984

Oats -12 384

Rice +1 1529 

US$ +.1%

Dow -40 13553

SP -5 1461

NAS -5 3179

Tran -75 5140

 VIX +.08 14.59

WTI -238 9662

Brent -301 11365

Gas -7 294

NG -8 316

HO -7.6 316

Eth -10 232

Gold -2 1768

Slvr -29 3430

2-yr +.004 0.258%

5-yr unch 0.718%

10yr -.026 1.843%

30yr -.056 3.036%

Tagged Post Topics Include: Economics, Market updates