canola- good news

[cottonpicken]

Selling 100% old crop today.

I don't think we will breach 600,close enough
now,and 700 is even tougher hurdle,correct down to
525 and sideways for a time.

[fjlip]

"U.S. soybean inventories before the 2013 harvest may fall 25 percent as exports climb to a record, the U.S. Department of Agriculture said Feb. 24. Global reserves of the oilseed are shrinking the most in 16 years as demand for food, fuel and feed expands, according to Jefferies Bache LLC. Drought in South America caused “irreversible crop damage,” and the global harvest may decline by the most ever, Hamburg-based research company Oil World said in a report last week."

[charliep]

Won't second guess the market but experience is that when all you read is bullish news, the market quite often reverses and heads down. Market has moved higher on the news - what the next piece of news that will propel it higher?

Things I would consider.

Current crop - South American is old news and in the market.

Fight for acres in the US. The markets function is to bid planted acres away from corn and encourage more soybeans. More soybean acres that take care of the tight US new crop carryover forecast?

Weather this summer. Need a big crop in the US.

Overall world financial situation and impact on agriculture (short and medium term) and impact on demand.

[fjlip]

"New Crop Canola Acres: A record number of acres are expected, with analysts projecting between 18 and 21 million
acres. "I think 21 million acres is probably a bit high. I'm not sure if we can do that," says Marlene Boersch of
Mercantile Consulting Venture. "But we expect higher prices yet." "We should be seeing around $13.50, depending
on the area. We should also see improvements for new crop canola, because demand is there, year-to-date exports
have been phenomenal, year-to-date crush is very high and we're going to be running very, very tight with the crop."