Today is Friday, Dec 10th, about 9:51 AM. Crude is down .53 at 87.74, Four days ago I wrote that I wanted to sell the 90 dollar level as a new position. i would cover 2/3 of the position today. Take the money and run. It’s December, markets are thin and we risked one dollar. We were not able to get below 87.50. I like taking the money on 2/3 of the position, and leaving a buy stop above at 89.50.
That is all for crude for now.
I think its a good time to sell some fat cattle. I think I’d like to be long beans and short wheat, despite the bullish fervor regarding wheat quality issues, rain in Australia, and dryness in The US and Russia.
I just don’t see the follow through, and every one I know from other brokers to cab drivers have asked me about being long wheat.
This morning’s USDA’s report showed that ending stocks for US were .858 up from estimates at .848 MMT. Bearish. World wide carry over for wheat was increased from 172.5 to 176.7. That’s bearish. I won’t change my opinion until we settle above 8.10. That’s all I have to say about that.
As for the Stock indexes, unless we can settle Dow futures above 11,450 and S&P futures above 1235, and do it before this month ends, then we are opening up the door for a world of pain for weak longs come January One.
Have a good weekend.
CER