AM Comments 01/19/16
Tuesday, January 19, 2016, 8:01 AM
Submitted by: Dustin Weiner
World equities and commodities are bouncing this morning following the announcement from the People's Bank of China stating that they will inject 600 billion yuan (91 billion $US) into their financial markets to stimulate their economy. Also, the recent CBOT Commitment of Traders report showed that the funds were holding a record short position in corn - and it appears that they are wanting to reign that in a bit as the funds were heavy buyers of corn (and soybeans) overnight last night. After Friday's strong close, the technicals (read: charts) turned friendly and corn futures rallied straight up to their 50- day moving average which is where they sit as I type this. This type of rally should engage quite a bit of farmer selling across the corn belt which could/should have an effect on basis and spreads.
Opening Calls
Corn 3 to 5 cents higher
Soybeans 6 to 8 cents higher
Have a great day!
@fccoopgrain
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Farmers Cooperative Co. issued this content on 2016-01-19 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 2016-01-19 14:13:03 UTC
Original Document: http://www.fccoop.com/markets/market-commentary/?CommentaryID=2660
