Very Unstable Markets!!

[furrowtickler]

With the news that the US Feds cut interest rates a 3/4%, we are in very unsatble ground right now in all markets.

I'm predicting a bounce at the open of the markets for maybe 1-2 hrs of trade, and then we will close down hard.

On the other side of the fence if Chicago, Mini or Kansas can close up on the day, this market has some major upside potential. It is a very pivotol day today!!

[furrowtickler]

Should've said if Kansas, or Chicago closes up higher.

[charliep]

Both Kansas and Chicago closed down/at lows but Minneapolis up (will have to confirm). Trading ranges today on wheat 45 to 53 cents per bu. Lots and lots of volatility.

[charliep]

Note further declines today. Not panicking on ag. commodity markets yets (remains friendly fundamentals) but a gentle reminder we are at historically high prices (crops anyway) and factors outside agriculture impact our markets.

Investments are a different story. Speaking for myself, going for the ride with the hope I am diversified enough to endure the short term pain and have a long enough view to see the other side/better times.

[agstar77]

I wonder if some of the funds are liquidating to cover positions on the falling stock market?

[charliep]

I suspect you are right. Fundamentals remain strong in crops but the vortex is sucking everything in.

Longer term, the question will be impact on the demand side.