In my opinion it just feels like a short covering bounce in corn and beans after the August slide as the weather still appears to be conducive for allowing the crop to get larger………….Crop tours are still reporting that yield potential may exceed the estimates the USDA issued in August.
First notice day on the September futures tomorrow……….
Wheat is still sensitive to the threats of Black Sea export license suspensions………… and, I believe, given the tight world ending stock projections that the trade will keep a greater focus on seeding weather in the next 6 to 8 weeks. Europe is still a little dry and the US is in good shape. History indicates that producers respond, weather permitting, with increased wheat acres at this point of the growing season when the corn/wheat spread is this wide…………………
Steve Bruce
Walsh Trading
312 985 0156
888 391 7894 toll free
312 256 0109 fax
sbruce@walshtrading.com
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Walsh Trading
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