Another day of short covering on wheat, leading the pack in the green. Corn is brought up but in a slower pace, the Wheat Corn Spread has drastically increased since a few days and has broken all the short term resistances. Surprising as now corn is shorter than wheat. The short covering in wheat is weather driven. Rain on winter wheat is said to drastically increase the risk of fusarium and still some below freezing temperatures at night. We’ll see if the crop condition are reflecting this. On the planting progress, Corn should be around 87 percent planted in the tonight’s report despite some reports of freezing preventing planting or even leading to reseeding. Soybeans should be around 50% planted. In Europe, France is seeing a bit too much rain as well.
EURUSD is finally down on the Greek latent issue. All thing equals, this should help the MATIF. Still posting another 5 euros up and is around 205 in dollars. It’s now a constant, U5 is less liquid than Z5.
A lot of questions are emerging, seasonality seems to kick off pretty seriously. Is this the time to turn bullish?