Financial
As the grain and soybean markets were closing the Industrials were off 89 points and crude down $2.50 with gold $20 lower. Dow closed down 61 points
The ISM service sector index dropped to 53.5 from 56 and that was the prime fundamental driver
169,000 new jobs are expected in Friday mornings employment report with the rate unchanged at 8.2%
Europe remains on the edge of economic ruin
DAX was off just .2%
ECB sticking with interest rates as they are
Stay tuned the skeletons are threatening to get out of the closet again
Livestock
Short covering took cattle up limit but hogs slipped back to a 4.67 gain at the close
Small cash trade thus far at $120
Boxed beef up just $.20
Wal Mart, the largest food retailer, may feature choice beef this summer
Pork cutout higher but hogs struggled late
Beef exports up 4.5% over a year ago
Grain and soybeans
Good growing weather
The thought that China may be covered for now regarding soybean needs
Outside market weakness
These three factors pressured the beans
Kansas wheat in great shape
Spring wheat is over three-quarters planted
Rain possible in dry areas of Ukraine and Russia
Weekly exports large as expected in beans and corn but wheat was just neutral
Friday morning look first to the European markets and then the US jobs report.
1:53 update
Dow off 63
Crude down $2.50
Gold down $20
Dollar little changed
Good weather, thoughts that China may be covered in beans for now and outside market weakness press beans
Cattle and hogs rally on short covering off the lows
Wal-Mart to offer choice beef cuts this summer
10:10 update
Chinaadds 232,000 tons of new crop beans to their shopping list
Corn sales large but as expected and wheat neutral
Short covering due in livestock off lows
Packers hold cattle bids steady at $120
Cash hogs lower call
May hogs fall to a discount to cash confirming weakness?
Financial
Quiet open—Dow up just 5 points
169,000 new jobs expected tomorrow with the rate steady at 8.2%
Chinese PMI recedes and US coming out
Euro zone PMI was weak
ECB does not alter interest rates
Crude oil off $.27, gold down $14 and dollar index steady at 79.14
Japan on holiday
Livestock
Light cattle trade at $120 inKansasand some $120 bids passed elsewhere
Strong cattle basis
Boxed beef up $.71 choice and steady on select
Pork cutout up $.69 with loin’s up $.89 and hams $2.51 higher
New lows yesterday
Beef exports 16,800 up 9%
Grain and soybeans
Kansas wheat in good shape but needs rain
Choppy trading week
Hot test of week inMidwestwith TS and cooler in 60’s next week—Dandy
Higher margin rates for CME members may induce some more liquidation
Rain into Ukraine and Russia is welcome
Weekly export sales: 256,000 wheat and 454,000 new crop
Corn large again 1.3 MT of old crop and 2.1 MT of new with china buying 214 old and 172 new with most going to unknowns always thought to beChina
598,000 tons of beans with 117,000 toChinaand 1.1 MT of new cropChinataking 675,000
More China confirmations?