Pure Hedge - Livestock and Grain

2/16/24

The Cattle Markets had big gains today and the Soybeans bounced higher too. I hope you sold it on the close. April'24 Live Cattle were 1.950 higher today and settled at 187.550, just below today's high of 188.125, which is also the 1-month high. The 52-week high is 199.825, and I am showing that for informational purposes only. Today's low was 185.425 and the 1-month low is 174.350. Since 2/16 April'24 Live Cattle are 12.200 higher or almost 7%. The Feeders had a big day today. March'24 Feeder Cattle were 3.925 higher today and settled at 251.025. Today's high was 251.925, which is also the 1-month high. Today's low was 247.125 and the 1-month low is 227.750. Since 2/16 March'24 Feeder Cattle are 22.200 higher or almost 10%. The Hogs posted a gain today as well. April'24 Lean Hogs were 0.225 higher today and settled at 85.225, just under today's high of 85.650, and just below the 1-month high of 85.925. Today's low was 84.525 and the 1-month low is 76.725. Since 2/16 April'24 Lean Hogs are 7.650 higher or almost 10%. The Grain Markets were mixed today with only the Soybeans bouncing higher. May'24 Soybeans were 10 ¼ cents higher today and settled at 1176 ¼, just below today's high of 1177 ½. the 1-month high is 1252 ¾. Today's low was 1165 ½ and the 1-month low is 1164 ¼. The 52-week low is 1150 ¾. The 52-week low in March'24 Beans is currently 1145 ¼, 32 cents from today's settlement price of 1177 ¼. Since 2/16 May'24 Soybeans are 62 ¼ cents lower or just over 5%. The Corn Market fell fractionally today. May'24 Corn was ¼ cent lower today and settled at 429 ½. today's high was 433 and the 1-month high is 463. Today's low of 427 ¾ is also the 1-month and 52-week low. Since 2/16 May'24 Corn is 25 ¾ cents lower or about 5 ½%.  The Wheat Market continued to slide lower today. May'24 Wheat was 8 ¼ cents lower today and settled at 559. Today's high was 568 ¾ and the 1-month high is 626 ½. Today's low of 555 is also the 1-month and 52-week low. Since 2/16 May'24 Wheat is 37 cents lower or over 6%. The Cattle markets continued to climb today, but I would not want to be long over the three-day weekend. The Cattle market might look strong, but it could be a house of cards. I truly hope everyone is prepared for the 180 if it happens. Take a look at the Option Premium many months out… The Grain Market is imploding and a I don't believe a 10-cent bounce in the Beans will do anything to stop that.  I have stated multiple times why I feel the Soybean market is overpriced, and I see nothing to change my opinion. I want everyone to be protected from their downside exposure. If you are not sure how to do that, ask someone, anyone. I am happy to help, but if not me, get help from someone.  I will be in Houston for the Commodity Classic on the 28th. I hope to see you there. Livestock and Grain Option charts and tables below. Have a great three-day weekend. 

-Bill

312-957-8079

I have Option Strike prices every Friday. 

I have market commentary and option charts in Pure Hedge – Livestock

and Pure Hedge – Grain at WWW.WALSHTRADING.COM 

Call for specific trade recommendations.

1-312-957-8079 

1.800.993.5449

Email me for free research. 

BAllen@walshtrading.com 

Bill Allen

Senior Account Executive

Direct:      1 312 957 8079

ballen@walshtrading.com

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