The quinoa, kale and gasless cow crowd might be getting their wish as we’ve wiped out a lot of calves in the West and the soggy soil might delay corn plantings. Might equate to more quinoa acres planted and kale might take over as ditch weed. I don’t know if anyone wins in this scenario?
Trade agreements and a lot of growing season to come might be two of the most important factors allowing for a bounce in the grains the past few sessions. The stocks and acreage reports on Friday could be the last of the bearish news until we get to harvest. Wheat comes first and it’ll be interesting following basis levels in June/July/August as millers might be willing to pay a little higher than historically normal. Spreads have been screaming that quality has been a concern and we are in desperate need of a decent to excellent harvest. And, it’s a long time until we get past the first frost in the Fall and wrap up the corn and bean crops for this year. It still appears to be a buyer’s market for old crop corn and beans and normal weather from now until Fall might bring us another bountiful harvest which might mean storage tightness and weaker basis levels for new crop. There’s no substitute for assuming normal conditions and tweaking yield potential every day with abnormal weather.
Crop report on Tuesday and the USDA will issue Supply/Demand estimates and some fresh World production figures. It’ll give us something to talk about besides the weather and trade deals.
The information contained on this site is the opinion of the writer and obtained from sources cited within the commentary. The impact on market prices due to seasonal or market cycles and current news events may already be reflected in current market prices.
Join
My Mailing List
Steve Bruce
Walsh Trading
312 985 0156
888 391 7894 toll free
312 256 0109 fax
[email protected]
www.walshtrading.com
Walsh Trading
53 W Jackson Suite 750
Chicago, Il 60604
Walsh Trading, Inc. is registered as a Guaranteed Introducing Broker with the
Commodity Futures Trading Commission and an NFA Member.
Futures and options trading involves substantial risk and is not suitable for
all investors. Therefore, individuals should carefully consider their financial
condition in deciding whether to trade. Option traders should be aware that the
exercise of a long option will result in a futures position. The valuation of
futures and options may fluctuate, and as a result, clients may lose more than
their original investment. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF
FUTURE RESULTS.
All information, communications, publications, and reports, including this
specific material, used and distributed by Walsh Trading, Inc. (“WTI”) shall be
construed as a solicitation for entering into a derivatives transaction. WTI
does not distribute research reports, employ research analysts, or maintain a
research department as defined in CFTC Regulation 1.71.