U.S. Fed curbing stimulus

[errolanderson]

Some of the U.S. Fed governors appear
realizing that their policy of 'kicking
a dead horse' isn't working very well.

Speculation that some money printing
presses may be unplugged soon is doing
quite a number on precious metal
markets.

April gold dove near $1,550 per oz
today. Crude is also being impacted.

The next excitement may be the Alberta
budget to be released March 07th which
may rattle all of Canada.

[blackpowder]

So what percentage of new crop should we
have sold by seeding?

[errolanderson]

blackpowder . . . This is a big-time
deflationary environment for commodity
markets (IMO).

Sell the rallies and guard profits for
your fall cashflow needs.

Bulls getting cocky with these markets may
get a lesson on global economics straight
ahead.

[liberty]

The Fed's official pronouncements are mostly hot air, designed to give the impression that they are concerned about inflation while doing everything possible to ignite it. You won't see any actual slowdown in their drive to monetize $85 billion in T-Bills every month. Changing course now would collapse the finances of the U.S. federal government in an instant and the Fed knows it. Now that the geniuses at the Fed have painted themselves into a corner by filling their balance sheets with worthless assets you can expect their official statements to become more and more contradictory as time progresses. The fact of the matter is that the Fed is populated by outright idiots who literally have no idea what they should be doing.

[TOM4CWB]

Liberty,

Ezra on Sun had a good point about US leadership.

Obama stated he killed Osama... and saved GM.

It may in fact turn out the exact opposite by the time
Obama leaves office.

GM is said to have lost over $30B in 2012... Now they
are uncompetitive... the Unions won that one...

and

Obama has an over 90 percent DISAPPROVAL rate in
Pakistan. If the US keeps the drones going... killing
innocent people... Al-Qaeda is gaining...Lebanon
Egypt... Sudan... Yemen... Syria...

Cheers

[crusher]

In my backyard I sold some canola this
week for close to $15. The world is not
coming to an end.

[wd9]

I gotta say it, really Errol? Eventually
you are gonna be right. But not for the
last 6 months of doom and gloom
predictions.

Also sold canola for almost 15. Its a
good time to be a farmer - one with grain
to sell that is.

[errolanderson]

wd9 - does saying 'nothing' fix anything?

take a look at Cdn retail sales released
today. loonie is getting smoked again as a
result of this data which is the good news
for our ag industry.

[bucket]

errol

I am not convinced a lower dollar helps farmers.

The last time the dollar was below 80 cents, it was survival mode on the farm. Some off farm work saved it. Good times, not.

[errolanderson]

bucket . . . the drop in the loonie is
supportive, but agree with your assessment
. . . when bean prices eventually head
south, canola bids will head south as
well.

[bucket]

errol

I am not sure beans are moving to much lower.

Some latest estimates have the SA crop off close to 10mmt because of rain damage. 1/2 inch sprouts on soybeans in the pod type of things. You do the math on the resulting quality.

China is back to the US, and that is after cancelling lower priced beans.

Having said that, I am seriously considering going to 100 percent sold on old crop canola.

There is definitely more downside risk than upside potential now.

[errolanderson]

bucket . . . weekly soybean sales data
released early this morning was a negative
119,000 MT meaning more returns than sales
this week.

corn and wheat exports were solid.