The soy remains supported. There may be some changes. The bean oil has exhibited some strength of late. The palm oil market has rallied as well. The demand for veg oils is on the rise. This trend will continue. There at present is ample supply. However, prices may rise further. The meal in my opinion has some things to contend with. The African swine fever has dropped Chinese hog production 1% at present. This problem will persist, again my thought. The near term beans are supported on weather. The long term remains bearish with huge carry overs and a drop in US exports. Rallies from here present opportunities to sell.
The feedgrains are finding some support. The corn and wheat both represent value for exports. The Wheat prices in the Black Sea have been on the rise. The US corn is fairly priced and concern over South American plantings could push the market further. The feedgrains should continue to hold up relative to the soy.
” WHEREVER YOU GO, GO WITH ALL YOUR HEART ” – CONFUCIUS
BE WELL, John Walsh 312-208-8836 or jwalsh@walshtrading.com