DTN's Quick Takes

By DTN Analysts

Grains

OMAHA (DTN) -- May corn is up 1 3/4 cents per bushel, May soybeans are down 5 1/4 cents, May K.C. wheat is up 1/2 cent, May Chicago wheat is up 3 cents and May Minneapolis wheat is up 2 cents. The Dow Jones Industrial Average is down 322.26 points and May crude oil is down $1.33. The U.S. dollar index is up 0.380 and April gold is up $3.80 per ounce. While corn is trying to hang onto early strength following the China purchase of 300,000 metric tons (mt) of U.S. corn, soybeans are fading. Ag markets are likely being pressured by weak outside markets with crude oil now down $1.33 and the U.S. dollar index is close to the daily high.

Posted 08:42 -- May corn is up 3 cents per bushel, May soybeans are down 3 1/4 cents, May K.C. wheat is up 3 1/4 cents, May Chicago wheat is up 4 cents and May Minneapolis wheat is up 1 1/2 cents. The Dow Jones Industrial Average is down 89.57 points and May crude oil is down $0.76. The U.S. dollar index is up 0.270 and April gold is up $4.40 per ounce. Where there is smoke there is fire, and following Thursday's rampant rumors of China buying U.S. corn, Friday morning's announcement that China did indeed buy 300,000 metric tons (11.8 million bushels) of U.S. corn is a step in the right direction, albeit a small one. One would expect more to follow, but this is a good sign that a possible trade deal with China could be forthcoming soon.

Livestock

Posted 09:18 -- The unchecked buyer spree in lean hog trade may be in breaking down with prices moving from expanded trading limits in summer contracts, where July and August futures were locked in $4.50 per cwt gains. April futures is currently the only contract trading lower, but all markets are well off session highs, creating uncertainty where prices will move through the rest of the session. Sharp losses at the end of the week could add more uncertainty as traders have time to rethink and assess direction over the weekend break. Cattle trade remains sluggish with narrowly mixed trade holding in live cattle futures as nearby futures are 15 cents lower to 12 cents higher in limited trade.

Posted 09:18 -- Another run at limit gains is developing, this time with summer contracts leading the surge higher. A move above $100 per cwt in July and August futures has sparked aggressive early morning buyer interest, which continues to push prices $4 to $4.40 per cwt higher in the first hour of trade Friday. As of now, there is no indication that buyers will back off the accelerator, but things could change quickly given the market volatility and price shifts in the last couple of days. Cattle trade is mixed to mostly higher as live cattle have given back initial support in nearby contracts. April live cattle is 35 cents lower despite moderate gains holding in the cattle complex.

(ES)

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