10 04 2011 Sect 2 (Pdf)

Grass & Grain, October 4, 2011 Page 17 the time being. Planting finished the week strong as conditions are still very well. Cash cattle traded at Gigstad to poor and much of the HRW $121 in Kansas and $121.50 Belt still needs rain. The in Nebraska, which helped Schwieterman new crop July contract is the October live cattle make join USB still at a premium to the old multi-month highs and the Craig Gigstad, a soybean crop, but it doesn’t seem to deferred feeder cattle con- farmer from Valley Falls, me that traders are overly tracts make new contract has been appointed by U.S. Agriculture Secretary Tom A marketingMarket commentary Outlook by Bret Crotts concerned about planting highs. It wouldn’t be sur- Vilsack to serve on the conditions at this time, or at prising at all to see follow United Soybean Board least it doesn’t seem to be through strength next week (USB). Six U.S. soybean The Quarterly Stock Re- increased 2010 production to see a repeat of that kind providing much support to on ideas of seeing higher farmers will be sworn in as port was decidedly bearish by 59 million, so that im- of action in the coming days the wheat market. cash trade again. It is possi- new USB directors at the for the corn. USDA came up plies quite a bit of extra de- and weeks. It is still very Pressure continued in ble that we will see the USB annual meeting in De- with a 1.128 billion bushel mand and puts new crop likely that production will the soybeans last week de- spring feeder cattle con- cember. “New uses for U.S. ending stocks estimate, ending stocks down towards be cut in the October supply spite the supportive export tracts reach $150. soybeans continue to which was up 208 million the 150 million area, which and demand report and that sales report and the sup- The February live cattle amaze a lot of people,” said from the September supply is supportive and makes it our new crop stocks to use portive stocks report. The should temporarily run out Gigstad. “There is a lot of research being done, some and demand report and more difficult for the soy- ratio will be at or near November soybean lost 79 of steam at the $126-$127 that I don’t even know much higher than expected. beans to give up acres this record tight levels. A move cents for the week with over area, so that would be a about yet, and I’m anxious 50 of that coming on Friday. good place to put on hedges, I will be very interested to spring. to $5.75 is a buying opportu- to be a part of that as we see how they change the de- December corn lost 46 nity. Buy November $5.50 The charts look terrible but keep in mind that the continue to expand new mand estimates in order to cents this week, 40 of which puts and buy futures against for the soybeans. They fundamentals are still very uses on a broader scale.” explain the extra bushels of came on Friday. The corn them. looked terrible last week bullish. The six new appointees corn. We may end up seeing had a fairly promising start The December KW lost after the market fell out of Schwieterman Marketing, will join 63 existing or re- 2010 production revised to the week with a reversal 27¼ cents this week while the multi-month trading L.L.C. specializes in risk man- turning farmer-leaders in higher, but if they were higher on Monday and good the December Minneapolis range, but this week the No- agement and cash grain and volunteering their time to going to do that, I would strength early Tuesday. wheat gained 41¼ cents. vember beans took out the livestock marketing plans. For serve as stewards of all U.S. have expected to see that Rest of the week wasn’t so Friday the December KW March low and reached the information on the markets or soybean farmers’ checkoff revision made last week great, culminating in Fri- posted an outside day down November low on the week- our marketing service you can investments, ensuring the funds are used effectively just like they did with the day’s limit lower move on the charts and fell to the ly chart. $11.20 is the next contact Bret Crotts at 888-437- to support global demand retracement level on the 9131 or bret@swbell. net. soybeans. I think we have to which was caused by the lowest level since August of for U.S. soy and maximize daily chart and $11.28 is the plan on numerous changes higher than expected stocks 2010 while the December The information contained profit opportunities for all to both the old crop and figure and exacerbated by Minneapolis wheat made next retracement on the herein is based on data ob- U.S. soybean farmers. Soy- new crop supply and de- end of the month and end of multi-week highs. weekly chart, so don’t be tained from recognized statis- bean checkoff farmer-lead- mand numbers for months the quarter fund liquida- The small grains summa- surprised to see a move tical services and other ers focus on investing to come and the “final” re- tion. ry certainly justified this down to one of those levels. sources believed to be reliable. checkoff funds in domestic port in January won’t be The market is certainly extreme spread activity. The fundamental out- However, we have not verified and international market- final. oversold, but that doesn’t Most of the production cuts look doesn’t seem as nega- such information and we do ing, maintaining and in- The wheat numbers were really matter at this point. came in the spring wheat, tive as the technical outlook not make any representations creasing U.S. soybean mixed. The stocks estimate The momentum of the mar- which came in at 462.5 mil- does. We will need to see as to the accuracy or com- yields, finding new uses for soy, ensuring market access was higher than expected at ket is clearly lower and it lion bushels. The assump- more than just one week in pleteness. Past results are not for U.S. soy and other areas 2.150 billion, but the pro- appears that the December tion has been for quite a row of export sales over 1 necessarily indicative of fu- affecting the U.S. soy indus- MMT, but that is certainly ture results. All statements duction estimate in the contract is now head back some time that USDA had try. small grains summary was to the July 1st low of $5.75. It been overestimating both possible after this recent contained herein are current “I’m excited to be able smaller than expected at is interesting to note that acreage and yield in the weakness. Any production opinions, which are subject to to increase profit opportu- 2.008 billion. These num- that low came the day after spring wheat country and cut will now take ending change. The risk of loss in nities for Kansas farmers,” bers tell us that demand is a limit lower move, which Friday’s report finally con- stocks dangerously close to trading commodity future added Gigstad. “With the slow, but we have less wheat followed the last stocks re- firmed that. Friday’s could 100 million bushels, which contracts is substantial. You growth in soybean acres in to work with than previous- port, which was bearish be- have been really bullish would be supportive to old should therefore carefully my state, I can’t wait to see ly thought. Once again we cause USDA found way had it not been for the larg- crop and new crop soybeans consider whether such trad- how we can expand the need some good export more corn than expected. er than expected stocks es- as well as the corn. ing is suitable for you in light market for Kansas soy- sales reports to put some That sharp break attracted timate. The stocks estimate We don’t often see peo- of your financial condition. beans.” Gigstad, nominated by enthusiasm into the wheat demand, bottomed the mar- confirms that demand is ple trade the cattle on feed Neither the information, nor the Kansas Soybean Com- report numbers, but we any opinion expressed shall market. ket, and with the help of hot very slow and that UDSA mission, joins Kansas farm- seemed to last week. The The soybean stocks esti- weather, got the market has been correct in telling be construed as an offer to ers Bob Haselwood from mate was friendly at 214.7 started on a run up to the us that we don’t have any cattle futures surged higher buy or sell any futures or op- Berryton and Ron Ohlde of million bushels. USDA also highs. I won’t be surprised kind of supply problem for Monday and Tuesday and tions on futures contracts. Palmer on the board. COMM. CATTLE AUCTION MANHATTAN CO.INC. EVERY FRIDAY 1-800-834-1029 STARTING 9:00 A.M. ON CULL COWS Toll-Free FOLLOWED BY STOCKER FEEDERS — 11:00 A.M. OFFICE PHONE 785-776-4815 • OWNERS MERVIN SEXTON & JOHN CLINE For our sale Friday, Sept. 30th, all classes of steers Bob Rogers Manhattan 4 hols [email protected] Patrick & Dixie Schettler Garnett 1 blk [email protected] and heifers offered were in very good demand from $2 Tom Link Manhattan 1 blk [email protected] to $5 higher.

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