SOY
The bean market has put on another rally today. As I mentioned yesterday I felt one more up day this week was possible. We have received that and my targets are met. It is my thought the market now will wait and see if rains are received. This will be interesting at present. The market is giving the producer an opportunity to lock up a decent rally right before the most critical time. MEAL/OIL The oil share lost more in the nearby given the meal strength. I have liked meal vs beans. At present I don’t want to press this idea any more. The meal has gained 11% in the oil share. This is significant. The global vegoil market came under significant pressure due to the high Indonesian stocks. The market there is changing. There are still ample stocks. However, demand is picking up and purchases will be forthcoming. In addition China has let veg oil stocks diminish. They should start to need to step up purchases. There may be a reasonable shift going on here in the meat sector that puts meal in the back seat again. Lets watch veg oil here closely.
BE WELL,
John J. Walsh
President, Walsh Trading, Inc.
800-993-5449
312-208-8836
jwalsh@walshtrading.com
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