I know some of you guys will laugh even disbelieve but some traders here are cash strapped especially the smaller ones.
Another reason for quiet market, they’ve gotta move what they’ve bought. Some of those guys are behind as well bulk shipments. Probably only a few weeks but same issues.
Sometimes during our harvest buyers just pull out vanished our books are full which means just that or there merchant banks have said that’s it’s no more credit to trading arm of your company.
Anecdotal heresay doing the round some small traders are on wrong side of the market with there canola hedging. Or backyarditis huge crop in oz small crop in Canada average in Europe got blindsided went through stops and are now bleeding hence canola market dead as a aged steak.
Other line of thought by some here on the jittery market, gonna take 4 or 5 non rain events for markets to move and only one big rain event to send it tumbling.
End users playing the waiting game just buying hand to mouth each week just slightly cheaper. They know farmers will sell soon for fertiliser and chemicals etc etc . Some years nothing easy about marketing grain here, but it’s reasonably orderly.
Bulk elevator system our local took in 500,000 tonne that’s counts other small elevators grain now coming into a central point. Could be almost 250 to 300k unsold. Latest figures haven’t come out. Still 15 plus buyers operating but Mexican stand off about $30 below prices of 4 weeks ago. Odd day one guy will bid above everyone else bang filled with a hour. Means there short on a vessel coming in.
Another reason for quiet market, they’ve gotta move what they’ve bought. Some of those guys are behind as well bulk shipments. Probably only a few weeks but same issues.
Sometimes during our harvest buyers just pull out vanished our books are full which means just that or there merchant banks have said that’s it’s no more credit to trading arm of your company.
Anecdotal heresay doing the round some small traders are on wrong side of the market with there canola hedging. Or backyarditis huge crop in oz small crop in Canada average in Europe got blindsided went through stops and are now bleeding hence canola market dead as a aged steak.
Other line of thought by some here on the jittery market, gonna take 4 or 5 non rain events for markets to move and only one big rain event to send it tumbling.
End users playing the waiting game just buying hand to mouth each week just slightly cheaper. They know farmers will sell soon for fertiliser and chemicals etc etc . Some years nothing easy about marketing grain here, but it’s reasonably orderly.
Bulk elevator system our local took in 500,000 tonne that’s counts other small elevators grain now coming into a central point. Could be almost 250 to 300k unsold. Latest figures haven’t come out. Still 15 plus buyers operating but Mexican stand off about $30 below prices of 4 weeks ago. Odd day one guy will bid above everyone else bang filled with a hour. Means there short on a vessel coming in.
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