Dry South American Climate Credited For Bean’s Bounce
In their last day of trading this century, soybeans [SF0>SF0]
gained as traders covered short positions ahead of the long weekend and as rain forecasted for Brazil and Argentina, largely missed the major growing regions. Brazil is the world’s second largest exporter of soybeans. January soybeans added 7 1/4 to 461 3/4, soymeal [SMF0>SMF0] rallied 2.2 to close at 146.7 and soybean oil [BOF0>BOF0] rose .14 to close at 15.75.
March T-bonds [USH0>USH0] sold off early in response to a bearish jobless claims report but reversed and ended 4/32 higher at 91 14/32 after the Chicago Purchasing Managers index declined unexpectedly.
Stock index futures reversed after setting intra-day highs: March Dow futures [DJH0>DJH0] fell 57.0 to 11,563.0, March S&P futures [SPH0>SPH0] edged 1.40 lower to 1480.80 and NASDAQ 100 futures [NDH0>NDH0] ended 10.00 lower at 3734.50.
In a sign that OPEC may be reneging on production curbs, oil and its derivatives futures fell after a report indicated cartel supplies increased over the past two months. February crude [CLG0>CLG0] sank .87 to 25.60, unleaded gas [HUG0>HUG0] lost .0293 to .6762 and heating oil [HOG0>HOG0] fell .0190 to .6787. Natural gas [NGG0>NGG0] also lost .065 to 2.329.
February gold [GCG0>GCGO] made good on its Turtle Soup Plus One Sell set up, ending down 2.8 at 289.6. March silver [SIH0>SIH0] went the other way, gaining 3.8 to 545.3.
A thin market and trader’s second-guessing of a recent crop report from the Brazilian government, sparked a rally that took March coffee [KCH0>KCH0] up 5.90 to 125.90.
Orange juice [OJF0>OJF0] indicated it could make a larger-than-normal move by registering on the 6/100 Low Volatility List and indicated direction by posting on the Implosion-5 List: January closed down 1.55 at 88.95.