There was a “show me the money” attitude in today’s trading as caution replaced yesterday’s enthusiasm in both ag markets and on Wall Street. Let’s count the many sources of hesitation.
Soybeans, meal, and wheat have all been overbought with high RSI’s. There is known to be a lot of supply, but competitiveness is more uncertain with lower prices in South America and Europe. Market data is too dependent on derivative reports while the government is shutdown. There is a trade agreement with China but its terms appear improbable given current market dynamics. The Supreme Court may strike down Trump tariffs, which will undermine many of the trade agreements that have been negotiated, and pr...
What You Need to Know Today: The hot, dry weather forecast continues to drive strength in grain futures with corn and soybeans hitting another day of strong gains. Monday’s Crop Progress and Conditions data were in line with market expectations and showed relatively few concerns for the...
Yesterday we wrote about the Q1 GDP numbers and the June employment reports in an article entitled Real GDP for Q1 Relying on AI Buildout, Held Back by Consumer Spending. That article mentioned that consumer spending had become a drag on GDP. Nonetheless, real GDP in Q1 was revised upward to 2...
Key Takeaways: The Middle East and North Africa's arid climate and limited water resources have created a structural dependence on imported wheat. Government wheat tenders in major importing countries serve as important benchmarks for global trade, providing insight into exporter competitivene...
