OPENING CALLS
May 13, 2008 By: Brian Hoops, President
Corn: 3 to 4 lower on overnight and improved
forecasts.
• The weather forecast calls for a chance of
rain at mid-week then a drier pattern to follow.
• Planting progress came in at 51% completed,
below the average of 77%. Emergence is 11%
compared to 33% on average.
Soybeans: 5 to 7 higher on overnight trends.
• Palm oil futures were lower overnight.
• November soybeans gapped above the downtrend
line on Friday.
• Planting progress came in at 11% completed vs.
29% on average.
Wheat: 1 lower to 1 higher on the overnight
trends.
• Iraq is tendering for 50,000 mts of wheat.
• Japan is tendering for 60,000 mts of wheat at
their weekly tender.
• Winter wheat g/e ratings were unchanged at 47%
compared to 58% g/e a year ago. Only 36% is
headed compared to 53% on average.
• Spring wheat is 81% seeded, slightly ahead of
the average of 78%.
Live and Feeder Cattle: 10 lower to 10 higher on
overbought technicals vs.follow through buying.
• Feedlots will be offering showlists at higher
money this week.
• Packers claim they have plenty of captive
supplies to draw off of the next two weeks.
Lean Hogs: 5 to 10 higher on stronger cash
trade.
• Cash hog trade remains very strong as packers
need to bid up for cash product.
• Stronger cutout values will keep packer
margins in the black.
Our newsletter this week is titled "The May
Supply/Demand Report." This week's newsletter is
20 pages in length and gives you the insight on
the key market information released by the USDA
last week and what the USDA does not want
producers to know. In addition to focusing on
the fundamentals and technicals of the market
with specific recommendations for corn,
soybeans, wheat, lean hogs and live cattle; this
week's newsletter also looks at such news items
as a look at the Australian crop production
estimates, what the US SEC is requiring from
Wall Street Banks; why India has banned futures
trading in soybean oil; an update on
Argentina's government decision to continue to
restrict beef exports; a look at the savings to
consumers due to ethanol; the first quarter
profits of AGCO and ADM; what investorJim Rogers
says he will be buying more of and the final
estimate of the Wheat Quality Council tour. This
newsletter is a must read if you are a hedger or
trader of commodities. Clients receive web
access as a free service,access is available for
a small monthly fee to non-clients |
