COMMENTARY:
The bean market corrected today. The trend has been up in a very large protracted way. The weather in the southern hemisphere has been the key driving force. The market took a breather today due to the USDA report tomorrow, in my opinion. The two week weather outlook appears to remain hot and dry in critical areas. The reality is the bulls have the bit and control at present. The market will continue to be driven by weather. The only unknown is tomorrow. Hence the minor sell off. The recent trade has also been driven by meal gaining on soyoil a bit. The vegoils remain supported in the macro sense. However, the Black Sea region now is picking up crushing of sunflower. The oil will be competitive into markets. The complex was higher today across the board . The USDA will release numbers for the bean carry over in the 275 -280 million bu range. This is down from 324 million bushels last month. The weather in the southern hemisphere has improved and probably halted the crop declines. The global numbers are somewhat important. The real story now is the geopolitical events and also how we handle the overall situation moving forward. I don’t want to ramble on about thoughts today. The numbers will be watched tomorrow. Then the money flows will again dominate the trade. Let’s see tomorrows numbers.
BE WELL,
John J. Walsh
President, Walsh Trading, Inc.
800-993-5449
312-208-8836
jwalsh@walshtrading.com
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