I have been on the phone the last few weeks and am finding it amazing how the market feels were producing a bumper crop all over the world so lets wait and see about buying product.
Lock the bins boys sell what you need because the US farmers are saying the same thing I have all summer its a average crop in Canada, USA, Australia, And Argentina. Europe has quality problems etc. Canada will join that group if we get another week of rain like Accuweather is talking about.
Reading also how Australia has had about 10 frost nights in August, Isn't their wheat heading now and canola in full flowering. Oh yea they will make a 24 million ton wheat crop. Oh also India is flooding isn't that going to damage their crops. Argentina is dry wounder how their massive production is coming.
Yes the speculators created the bonus month of February for farmers, But the facts remain the same production will not increase the worlds stocks this year.
Oil is down hard this morning and so are the grains and oil seeds. Speculators are the ones that ramped up oil to almost 150 a barrel.
Fertilizer will be the next crash its coming watch as china or India will re neg on huge contact.
Any way back to initial post, Markets believe farmers need huge amounts of cash this fall for bills and most did not lock in futures prices for their product so will have to liquidate to pay their bills. That came from a trader on Canola this week, I forget the guys name.
But also is all this nonsense because of the US election and Indian election year?
Now yes If I was a buyer and all I heard was how wonderful the crops are do you think I wouldn't be buying product either. But I think this strategy is going to bite them in the Ass later on.
Lock the bins boys sell what you need because the US farmers are saying the same thing I have all summer its a average crop in Canada, USA, Australia, And Argentina. Europe has quality problems etc. Canada will join that group if we get another week of rain like Accuweather is talking about.
Reading also how Australia has had about 10 frost nights in August, Isn't their wheat heading now and canola in full flowering. Oh yea they will make a 24 million ton wheat crop. Oh also India is flooding isn't that going to damage their crops. Argentina is dry wounder how their massive production is coming.
Yes the speculators created the bonus month of February for farmers, But the facts remain the same production will not increase the worlds stocks this year.
Oil is down hard this morning and so are the grains and oil seeds. Speculators are the ones that ramped up oil to almost 150 a barrel.
Fertilizer will be the next crash its coming watch as china or India will re neg on huge contact.
Any way back to initial post, Markets believe farmers need huge amounts of cash this fall for bills and most did not lock in futures prices for their product so will have to liquidate to pay their bills. That came from a trader on Canola this week, I forget the guys name.
But also is all this nonsense because of the US election and Indian election year?
Now yes If I was a buyer and all I heard was how wonderful the crops are do you think I wouldn't be buying product either. But I think this strategy is going to bite them in the Ass later on.
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