Traditional reversal Tuesday yesterday. Funds bought 2,000 Corn, 4,000 Wheat and 3,500 Soybeans. But no major news, markets are generally quiet. A few technical operations, spreads and rebalancing for the end of the month, quarter and year. Short covering after the very short COT as well. Anyway, really, it’s all about the weather these days: precipitations are below the average in the US but snow cover is coming, Black Sea is freezing cold and need more snow, South American weather is improving but market is still fearing it’s not going to sustain, Western Europe is mild and flooded and some parts… In the US and Western Europe, wheat is past dormancy and some landscape really look like spring! This is not an issue as long as there’s no actual winter or if snow is coming before freezing. MATIF followed Chicago higher helped by a lower euro. Night session and early MATIF trading are up.
NOPA crush is expected above 165M bushels later today.
Egypt said they’re aiming to produce 80% of their wheat needs locally by 2018. This would mean indeed GASC would import much less than 4MT, aggressiveness will be needed to sold to Egypt!
EURUSD was down yesterday, testing the 1.09 level. Failing so far and it’s rebounded on this level and is up today.