Market Report

It’s CRAZY MONDAY!!! Why? The market is up and we all want to know why.  It’s great to see the board come back after such a negative week last week.

 

Market:

Oil is down, the US dollar is down, supportive to grain.

 

3/23/15 11:18am

DJ +30.20

S&P +1.63

Nasdaq -6.50

 

Radio Shack’s bankruptcy auction kicks off today, liquidating the companies remaining assets.  If you said “What? Radio Shack is closing” well that explains it all, if you walk into your neighborhood Radio Shack it will look empty, or be closed.  Even shelves, displays, everything is being sold.  However select stores will remain open and be co-branded with Sprint to keep offering Sprint wireless services.  Read more here http://www.wsj.com/articles/radioshacks-future-to-be-decided-at-bankruptcy-auction-1427057225

 

 

Grain Markets –

3/23/15 11:31am

May Corn +5 ½ @ 3.90 ½

May Beans +14 ½ @ 9.88 ½

 

Looking forward, many folks are preparing to the USDA  quarterly stock report and perspective planting data scheduled for March 31^st.  It seems the biggest unknown is US planted corn acres.

 

Informa sent out some numbers last week, lowering both corn and bean estimates:

 

• Corn: 88.5 million acres, down 75 thousand from January
  ·Soybeans: 87.5 million acres, down 547 thousand from January
  · Grain Sorghum: 8.2 million acres, up 601 thousand from January
  · All Wheat: 56.0 million acres, up 1.1 million from January
  · All Cotton: 9.6 million acres, down 210 thousand from January

 

Corn:  Corn broke $3.79 ½ resistance on Monday last week and really set the negative tone driving the market down to $3.67, before a key reversal on Weds.  Which put us back into the “range bound” range from 2 weeks prior.

 

Many farmers are still waiting for the “right price” to sell, and $4 might be the magic number.  That said, any potential rally in the corn could be met with farmer selling, thus capping the rally.  Many farmers are needing to free up some capital for spring input costs.

 

Beans:  Continued talk of record production out of South America keeps many bearish, however as the U.S Dollar continues to show weakness, we may continue to see the bean price supported.  Looking for any bounce in the market to make strategic sales will be key.

 

For Fun:  Exotic sports cars have always been something every kids dreams about, but what about domestic sports cars.  Many think Mustangs, Chargers, Corvettes, Camaros, but what about the Ford GT?  Ford plans to release the 2017 Ford GT and compete with the like of Ferrari, Porsche and  McLaren with 600 plus horsepower!  But not with a V-8…..but with the ECO BOOST?  I am amazed, and want one so bad I have to figure out how to explain to my wife I need to sell everything we own to get one.

 

This car utilizes a full carbon fiber construction including body panels.  To the carbon-fiber monocoque Ford’s engineers bolted front and rear subframes made from aluminum. The active aerodynamic elements include a multi-position rear wing that mimics the caboose-tamers of the P1 and LaFerrari to help keep Ford’s mid-engine supercar planted at speed. The suspension is active and uses inboard, pushrod-actuated damping, and ride height is adjustable.  Power comes not from a supercharged V-8 as in the previous GT, but rather Ford’s next-generation twin-turbocharged 3.5-liter EcoBoost V-6 engine.  Unlike last decade’s GT, the doors hinge up and forward and don’t incorporate portions of the roof; they still, however, grant access to a simple, businesslike cabin. A digital gauge cluster is augmented by a central color touch-screen display with Ford’s just-introduced Sync 3 infotainment setup, while the slim center tunnel houses the starter button and transmission selector buttons. A pair of paddle shifters sprouts from behind a squircle-shaped steering wheel, and we can’t get over the awesome door-mounted HVAC vents.  You can read more here http://www.caranddriver.com/news/2017-ford-gt-official-photos-and-info-news

 

And if you really like what you see, Here is a video https://www.youtube.com/watch?v=3C-qSRnqUZg

Greg Mockenhaupt

ProEdge Risk Management Consultant

P: (402) 685-5613 | C: (402) 380-9855 | Greg.Mockenhaupt@cvacoop.com

1007 County Road O

Oakland, NE 68045

www.cvacoop.com