Commentary: The soy found support today with some global support. The USDA will release the supply and demand Thursday. The expectation is for a slight reduction in soy stocks. If realized this could be a bit supportive in the near term. The carry around 400 at present would be deemed manageable. If this transpires the beans could witness a rally that could potentially take the market to approx 920 basis the May contract. This would offer hedging opportunities in the deferred contracts. The meal today was under more pressure as the oil share gained back. The palm was up overnight and this led some support. The bean oil has followed the crude of late. The President has attempted to settle global oil disputes. This could help with confidence in the bio fuel market.
John J. Walsh
President, Walsh Trading, Inc.
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