Commodity Market Update

I’m KayDee Gilkey with the Market Line Report for February 17, 2015.
The commodity markets were closed yesterday for the Presidents’ Day Holiday. So today we will look at the release results of the USDA reports last week as well as an overview of the cattle futures market.
Jackson Commodities Henry Kornegay says that the ending stocks were in line with trade estimates. The Brazil and Argentina’s corn market numbers were slightly larger than what the trade expected. Barring any unexpected surprises from Mother Nature - there should be plenty of global supply of corn.
In Wheat the ending world wheat supplies were raised to 197.9 million tons and the trade guess was 195.8 — that is going to be at least the second largest carryover in the last 13 or 14 years in the wheat market.
He continues with the cattle market update.
Kornegay: “Over in the cattle markets, most are aware of we took a tremendous sell-off pressure in the last 30 or 40 days in the cattle market. We had a lot of speculative players, particularly in the feeder cattle market, that were heavily long in there and ended up liquidating, coming out. We are now down still $25 to $30 off the high. It looks like inventory numbers that the USDA came out with — we are going to have a few more yearlings around but that is probably a year out. It looks to us that we should stay in pretty good shape as far as the cattle prices. We are just going to have manage the rallies and the sell-offs more than we have in the last 18 months.”