Waiting Game
Steve Bruce of Walsh Trading - InsideFutures.com - Fri Oct 12, 8:18AM CDT

It's still out there and it's looking for a place to stay................................Harvest activity is expected to be brisk the next two weeks and corn and beans will be looking for bins and bags to spend the rest of the Fall and Winter...................................Yet, basis levels on corn firmed a little yesterday as some are saying that the producer is doing a marvelous job of cubby- holing it on the farm....................Even with the smaller than expected production figures released by the USDA yesterday the final 20% of harvest might assert the most pressure on basis levels and spreads!!!!!!!!!

The USDA carryover estimates are still considered to be more than comfortable domestically! World ending stocks, by some, are still considered to be adequate to slightly tight especially for wheat............................Traders are focusing on the southern hemisphere as any hiccup with Australian and Argentine production may spark a sharp rally!

All is well in the equity markets today as it appears that financial collapse because of slightly higher interest rates may not be as devastating as previously anticipated.......................Historically, the last ten years of helicopter money and rapidly expanding money supply might be considered to be the outlier.........................................Regardless, the less filling/tastes great arguments may continue through the midterm elections as market direction has meaning!

We are starting to enter the roll over period for November beans and then we'll start feeling the December roll and Holiday atmosphere as we approach the end of the year........Over all the sense of the market, in my opinion, is that grains are too cheap to sell yet there's no reason to buy, yet!

The information contained on this site is the opinion of the writer and obtained from sources cited

within the commentary. The impact on market prices due to seasonal or market cycles and current news events may already be reflected in current market prices.

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Steve Bruce


Walsh Trading
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