COMMENTARY:
SOY
The soy is moving higher for all the reasons discussed yesterday. The vegoil was led higher by the palm at all time highs. The meal bounced in a rather large way based on demand and bean tightness potentially. The weather in South America is the driver and until more is actually realized will continue to be the driver. The veg oils have added support given the strength in crude. The export sales were supportive today over 1 mmt. Look for the markets to continue to exhibit strength until there is a change.
CORN
The corn market was weaker today after yesterdays performance. The market remains remains supported due to the weather in South America. In addition, the sales remain strong this week at 1.4 mmt. The question as we move through to the South American second crop is what if the weather pattern does not break. The corn, it appears, may remain well supported until more is known. The domestic fundamentals are on the edge. If the global numbers decline further it will be viewed as friendly. I say if, exercise caution.
BE WELL,
John J. Walsh
President, Walsh Trading, Inc.
800-993-5449
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