Klause' Wednesday Market Analysis

[Klause]

.... I make no representations this is informational only if you loose money on my recommendations it's your own decision...





Oil: I see it dropping down to 29 to 31 then reach a plateau. If us production starts dropping we will be ok. Otherwise it'll hit 20 bucks by July.



Canola: start making sales when futures hit 450 to 470. We will see that within a few weeks maybe a month or two. Futures only.


Come harvest time I expect canola around the 400 a tonne mark and cash bids sub 8 bucks unless we have a major weather scare.


Yellow peas: 7.50 to 8.20 new crop is available... 7.50 includes an Aog. Old crop at 9 bucks is also still around. Good time to book sales in both. Should sell all old crop at these prices and would go to 50% on new crop.




wheat: it's a crap shoot but if new crop at 6.20 to 6.40 for a #2 13.5 is available may be a good time to make some sales maybe 30%.

Old crop high fuzz bids are available around 5 bucks mid sask and low fuzz up to 6.40 depending on protein.



Flax

Old crop prices are strong... may strengthen more going I to may/June. Would still make sales now if possible... New crop 12 bucks is available... With acres going in that's fairly attractive.

[ALLFARMER]

I concur with your oil and canola assessments. The slowdown in China is having an impact on all commodities.

[wakopa]

Lol that's funny, why would I lock in wheat at 6:40, sometimes it is funny on here .

[boarderbloke]

Klause, regarding the prices/bus your suggesting, what's the value of the CAD? Are you thinking 80 cents U.S., 70, or 60 cents U.S.?
If crude goes to $29-31/bbl, what's the CAD worth? 60 cents U.S. or do you think lower???
If it's 60 cents U.S., then all your prices are way too low. IMHO

[Klause]

I'm thinking the CAD will hover around 75 cents for these projections. I have a feeling the US economy isn't in as good a shape as they think and the USD is in for a correction.

[Braveheart]

I know the CA $ will be an influence, if the USD stays strong or gets stronger it will keep a lid on US wheat futures and will reduce demand for US wheat keeping supplies burdensome.

[rkaiser]

"I have a feeling the US economy isn't in as good a shape as they think and the USD is in for a correction."

Finally ---- it makes it to agriville.

American economy has been fake for a long time. Only thing holding it up is the wall street gang stealing what they can and conning the little guys until the day they make their big exit.

[farmaholic]

50% new crop peas without AOG is suicidal after last year's experience here.

Would have liked to do a new crop flax contract with a line Co., no AOG-NO THANKS.

Just my two cents.

[ado089]

I think you're $2 high on wheat. Pretty close on the rest.

[redbull81]

Where you seeing OC bids for yellows at $9?
In southern AB prices have backed off to $8 now.