AM Comments 03/01/16
Tuesday, March 1, 2016, 8:03 AM
Submitted by: Dustin Weiner
To start off the month of March the markets are higher – equities are leading the news cycle as they are called sharply higher thanks to dissipating fears over the Chinese economy. China’s latest cut in lenders’ reserve requirements has everyone feeling better about life as it turns out the China’s economy may NOT be in as much trouble as feared – some are now predicting a 20% rally in the Chinese stock market. It’s almost funny when you think about how quick entire economies can go from buy to sell to buy…
With February in the books, the (unofficial) U.S. crop insurance prices are set at $3.86 for corn and $8.85 for soybeans. The 6-10 day maps are showing above-normal temps, with moisture in the ground and a mild forecast – many are expecting an early start to planting this year.
Overall for today, it looks like we have a good chance to start higher and if the outside markets hold on, maybe even stay higher. There isn’t much fundamentally out there that says prices should go higher though, so those who are long may want to pay close attention and be prepared for a change... This market has been pretty straightforward for a while now in telling us that (until proven otherwise) rallies are meant to be rewarded (sold).
Corn steady to a penny higher
Soybeans 3 to 5 cents higher
Have a great day!