Market Update - January 23, 2015

Posted on Jan 23, 2015
CBOT futures are trading narrowly mixed again today. Corn futures are performing the best due to this morning’s USDA report of very strong weekly corn export sales. Otherwise, there’s no real change in fundamental news.

In livestock markets, the “trend is your friend” – unless you own unsold/unhedged cattle and hogs. Cattle and hog futures are down sharply (as much as limit down) as the funds continue to liquidate their long positions and see their “paper profits” shredded. LC and LH futures are moving to new lows for this move. February LC price is approaching support at the August low of 148.80 after losing over $16/cwt this month.

The Cold Storage Report shows a growing inventory of red meat and poultry in storage. The West Coast labor problem has slowed export shipments. Choice beef is down 1.77 to 253.88. FOB Plant Pork dropped .99 to 83.71.

Corn Mar +1 385; Jly +1 401; Dec +2 415 Bean Mar -5 972; Jly -5 983; Nov -2 958 Meal +1 331 Oil -34 3163 Wheat mar unch 533; Jly -1 540 KC -1 564; MGE +2 578 Oats unch 291 Rice -9 1106

LC Feb -300 limit 15035; Apr -300 14880; Oct -252 14472 FC Jan -167 21430; Mar -450 limit 20182; Aug -450 20502 LH Feb -210 6950; Apr -200 7087; Jun -247 8067 Milk Feb +7 1483; Mar +3 1442

US$ +.1% was up 1% earlier

Dow -.3% SP -.2% NAS +.1% Tran -1.5% VIX -1.3% 16.19

WTI -.7% Brent +1.1% Gas +1.3% NG +5% HO +1% Eth +3% Gold -.8% Slvr -.5%

5-yr -.049 1.331% 10yr -.073 1.823% 30yr -.078 2.392% Paris KY, Paris Stockyards - January 22 *Cattle weighed at time of sale.* Cattle Receipts: 2075 Last week: 3255 Last year: 890 Compared to last week, Steers below 500 lbs sold 1.00 to 2.00 lower, above 500 lbs 3.00 to 4.00 lower. Heifers below 500 lbs sold 1.00 to 2.00 lower, above 500 lbs 2.00 to 5.00 lower. Feeder cattle not as attractive as last week. Slaughter Cows were 3.00 to 6.00 lower and Slaughter Bulls 3.00 to 5.00 lower.

Tagged Post Topics Include: Economics, Market updates