wmeubank@ocp.kcmo.com
GLOBAL ASSET MANAGEMENT
575 W. Madison, Ste 2607, Chicago, Illinois
(October 9,1997) CATTLE: Market activity during the past week in the cattle complex was weak early on, more E-Coli rhetoric and a lower cash cattle market, but a late-week rally has given the market an optimistic outlook. The cash market was down $1.00 at $65.00 as the packers still seem to have a tight rein on prices despite lower market ready supplies. The boxed beef was steady to weaker with excellent movement as retail interests were very aggressive at lower money which probably helped clean out the pipeline. Overall, market internals remain mixed to a bit weak, but if the heavy beef movement has helped eased supply concerns, the market should find underlying support. Technically, December live cattle are in a downtrend; the trend would turn back up on a close above $68.55.
FUTURES STRATEGY–Long LCV from $67.50. Maintain a protective sell stop close only at $66.02. Long LCZ at $66.50. Maintain a protective sell stop close only at $65.05.
OPTION STRATEGY–Short LCZ $66.00 puts at $1.10. Maintain a protective buy stop at $2.25.
Tony Montini
Added to the WWW 10-10-97
Last updated on 10-11-97
Hosted by:
One Crossroads Place
610 West Maple Ave, Suite WWW
Independence, MO 64050
(816) 252-4080
sysop@kcmo.com