Commentary: Some general thoughts given the surreal environment we are navigating. The fundamentals of each market will dictate the price discovery. However it may be of value to consider how quickly the perceived fundamentals can change. Especially given the fact that approx 3 Trillion dollars have been and is in the process of being moved into the economy in one form …
Soy Commentary
Commentary: The beans were up today following some strength in outside markets. In addition the Chinese made a purchase of 200t tn. This proved to get a bit of excitement going that the Chinese would continue to follow through on the trade agreement. It seems logical that given the covid they have much more reason to follow through on any agreements …
Soy & Corn Commentary
Commentary: Today was an historic day in some sense. The crude traded down to negative $40. Yes that is correct a negative. The situation dictating someone will get paid to essentially take the crude. This has ramifications on the global structure of many commodities. The long term scenario needs to be digested as rash decisions are not advised at present. …
Grain Spreads
Commentary: Soybeans are starting to see pressure from a lack of demand amid sizable buying of Brazilian beans by China. There is noise in the market from Private crop scouts in Brazil that the size of Chinese purchases in March and April were record large at over 13 million metric tons per month. While China has made some US bean …
Soy Commentary
Commentary: The beans remain mid range of the last months trade. The fundamentals are not overly friendly given the global carry. However, the domestic numbers have been supportive. It is possible the Chinese start buying US beans going forward. The Brazilian has dominated over the last couple of months. This month as well. The pace is not sustainable with production …
Soy Update
Commentary: The soybeans were steady overall. The bean oil was the leader to the upside. The USDA will release the supply and demand on Thursday. There are a couple considerations at present besides the report. The Argentinian, and now the Brazilian producers are having difficulty both moving and harvesting this years production. The interior in some areas is locked down …
Soy Update
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 …
Soy Update
Commentary: The soybeans are essentially range bound midway in a 60 cent range. The overall demand picture has weighed this week on beans as well as most markets in the AG. The USDA will release supply and demand estimates next week. The question is how much will they reduce exports due to corona, if at all. Looking forward at some …
Soy Update
Commentary: The soy traded both sides today due to outside influence. The soy in the near term will look at the SA production estimates. The Brazilian estimates are coming down. This will open a window for the US to make sales to China. It is possible that the Chinese start to restock and US purchases should be on the buying …
Soy Update
Commentary: The soybeans witnessed a lower trade today. The market is under pressure for a couple reasons. The overall demand remains weak for exports. This is due to the Brazilian exports of approx 13 mmt during March, a record. The main destination is China. The USDA numbers yesterday showed a larger carry than anticipated. This could prove important, and could …