The Markets rebounded in general today. The soy was led higher by product strength. There are a few considerations at present. The USDA will release stocks and acreage tomorrow. The expectation for beans will be a slight reduction in the old crop carry. The new crop carry should hover around unchanged from the previous month. The second factor I am paying attention to is the situation with the Parana river. The low water levels may very well have a ramification to the export market. If so product supplies (meal and oil) could dry up quickly. This would leave the US in a sincere demand scenario. This, in my opinion, is part of the reason meal is rearing its head. In addition, meal has been the weak link of late. Interesting to note, today oilshare still rebounded. My thoughts have been that oil share can trade to 50% or so approx. The markets tonight may well be quiet as the report is released tomorrow.
John J. Walsh
President, Walsh Trading, Inc.
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. The information contained on this site is the opinion of the writer or was 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 market prices. 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.