Markets Have Slight Bounce

Markets Have Slight Bounce

I'm KayDee Gilkey with the Market Line Report for January 18, 2012.

Markets were higher on Tuesday, on a corrective bounce from last week’s strong selling pressure. The key “outside markets” are in a bullish posture this morning, as the U.S. dollar index was weaker. The dry and hot weather in South America remains a bullish underlying factor for corn and soybeans.

Soft white wheat feels fairly firm with the additional feed business sold last week. 

Chris Robinson of Top Third Ag Marketing shares what to be looking for in this short week of trading.
Robinson: “We are still continuing to digesting last Thursday’s USDA report -- it was very bearish. After a 40 cents move in corn, a little bit of a bounce is not that big of a surprise. What are traders going to be looking at? Today we had a weaker dollar which made our commodities more attractive. We are still watching South American rain. We had some good soaking rains in Northern Brazil but 10 to 12 day forecast -- we are still drier than a lot of traders are looking for. So that’s probably the biggest reason for the bounce.”

March corn was up 4 1/2 cents at 6-04. March Wheat ended Tuesday down 2 1/2 cents at 6-04 and 3/4.

Portland prices for soft white wheat and club wheat was up 1 to 10 cents at mostly 6-23. Hard Red Winter Wheat with 11.5 pct protein was up 5 to 6 cents at mostly 7-32. DNS wheat with 14 pct protein was up 8 cents at mostly 9-32

February live cattle were up $1.05 at 123-53. March feeder cattle were unchanged at 152-38. February class III milk was down 11 cents at 16-97.

I'm KayDee Gilkey on the Northwest Ag Information Network. Now this.