Home Market Market Watch Market Wrap up with Gary Wilhelmi 6/21/12

Market Wrap up with Gary Wilhelmi 6/21/12

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6-21-12     PM  Comments

 

Financial

Dow suffers second worst day this year after Fed has nothing in the way of new stimulants to offer

S&P 500 down 30 to 1330 with support down at 1275

Crude pounded down to $78.13 on adequate supply and diminished world demand

Some of the Elliot wave theorists see crude falling to $40 which would be good for the gas tank but really bad from a gross economic standpoint

The dollar a better choice in a world full of troubled currencies jumped 76 to 82.38 and that is an export killer

DAX closing off .8% at10:30 CDTwas done for the day before stocks collapsed here

Watch German bonds as they are awfully rich in value and due for a corrective action

Bernanke had nothing but hopes for a European solution to their economic crisis and wishes and hopes don’t cut it

EU summit at the end of the month but they have had no answers so far

 

Livestock

Cattle soft ahead of the establishment of the cash trade

Boxed beef mixed about $.50 on select and $ .50 down choice

The best way to describe the cattle trade is sluggish

Hogs and pork cutout at $100 are historically high and watch for a pick in slaughter

 

Grain and soybeans

Corn and beans rock back and forth as scalper speculators are spinning the wheel

Some rain in the West but the storms tend to break up east of the river

Corn and soybean crop ratings are at 5 year lows

The weekly conditions report is now prime time as corn moves through pollination

Plantings and stocks report at months end

Stocks reports are the prime measure of domestic usage and can be a wild card

Corn and bean supplies are extremely tight

Bean stocks are never allowed to go below 100 million bushels but it is going to be close

Hyper rationing could send beans into the high teens

Watch dryness inRussiaandEast Europe

Also draw a bead on northernChina