Shootin' the Bull about an odd day

Live Cattle:

Kind of an odd day of trading where cattle feeders just took it on the chin if placing cattle today.  Feeder cattle futures were up sharply and the index was up a little over a dollar as well.  Feed and fuel were no cheaper and the price of money went up.  So, I'm not sure as to why the starting spreads widened so abruptly today, but they did.  While not believed an indicator of price direction, the widening spreads do reveal the risks being assumed. With March having 11.6 million head on feed and an approximate 8% higher placement and 10% lower marketing's may well put on feed numbers at just shy of 12 million head for the month of April.  

​​​​Feeder Cattle:

​Backgrounders received a reprieve from the selling.  This helped to narrow basis and improve ability to market at a higher price.  Other than that, I can't find much that has changed.   ​

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​​​​Corn:

A very mixed close on the three.  I anticipate all three to continue higher.  Beans will be watched closely to see if rain makes through the Delta.  That is where it is bone dry and many more beans than corn acres.    ​​

Energy:​

​Diesel fuel is back leading the way.  All three have been higher on the day.  I am writing this prior to the close, but as I write, diesel is setting new highs for the day, with crude and gasoline hot on its heels.  

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Bonds:

Bonds continue to move lower, as they should.  Inflation is hot, and with the amount of issues coming out next week, there is no shortage of money being pumped into the system.  ​Combined with commodity inflation, consumers are in the thick of it. 

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​​​​​​​​​​ “This is intended to be or is in the nature of a solicitation.”  Futures trading is not for everyone. The risk of loss in trading futures can be substantial; therefore, carefully consider whether such trading is suitable for you in light of your financial condition. Past performance is not indicative of future results, and there is no assurance that your trading experience will be similar to the past performance.