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Weekly Cattle Commentary 8/11/2017This week’s cash prices saw the bulk of cattle trading 114.50 to 116, 2 to 3$ lower than last week’s trades. Dressed sales were 183 to 185$. Basis was 5$ over the August Live board. Estimated weekly slaughter was 641K head, 62K larger than the same week last year. Box prices in… Read more.
The product market has turned and the live hog prices are following them. Below is how the weekly product market changed for the week ending 8/4/ 17 *Product Price Monday 8/7 Price Friday 8/11 Net Change Loins 85.94 82.78 -3.16 Butts 90.24 90.67 .43 Picnic 62.39 57.66 -4.73 Rib 118.13… Read more.
The product market has turned and the live hog prices are following them. Below is how the weekly product market changed for the week ending 7/28. *Product Price on Monday 7/24 Price as of Friday 7/28 Change Loin 90.52 85.97 (4.53) Butt 92.46 87.41 (5.05) Picnic … Read more.
Weekly Cattle Commentary 7/28/2017 This week’s cash prices finished at 117, 3$ lower than last week’s trades. Dressed sales 185 to 187$. Basis was 4$ over the August Live board. Estimated weekly slaughter was 627K head, 47K larger than the same week last year. Box prices in the PM report where 206.22 choice, and 196.82… Read more.
Weekly Cattle Commentary 7/21/2017 This week’s cash prices ranged finished quite strong with the bulk of them at 120 and 120.50 reported out of Colorado, fully steady with last week’s trades. Dressed sales 186 to 190$. Basis was 3$ over the August Live board. The reports came out post COF, but I cannot confirm if… Read more.
Weekly Cattle Commentary 6/23/2017 The bulk of the week’s cash prices ranged between 122 and 123$, with the end of the week dropping to 120$. Dressed sales 190 to 195$. Basis by Friday was 1$ over the June Live board. Estimated weekly slaughter was 632K head, 24K larger than the same week last year. Box… Read more.
This week we will touch briefly on what happened in the pork product market, the live hog market and how this will likely play out this week.
Often, there are a number of traders with a bad taste left in their mouths after they trade options. More often than not though, this distaste is from a lacking risk management plan – not the instrument. In this article, I am going to introduce two simple concepts for managing risk with your option positions.
As prudent, astute investors, I’m sure you have been watching this significant sell-off in the Precious Metals sector. If you bought or purchased Gold coins or bullion from 2010 to as recent as last month, you’re likely underwater. As a perpetual Bull on Gold, I understand how to manage risk and try to convey this to my clients.
Commodity option contracts are decaying assets. Unlike futures contracts from which they are a derivative, option contract values are lost each day to time decay. Therefore, it is prudent to liquidate long option positions even if the target price is not yet realized before time value diminishes the premium.