Speculative money continues to flow into the long side of the soybean market. Funds have moved from an aggressive short position in early March to a sizable long position on the roughly $1.00 rally. Because the price surge was fund-driven and futures have rallied further than we (everyone) anticipated, it's hard to predict how much further to the upside futures could extend or when the rally may run out of steam. We intend to aggressively sell the rally. Corn futures followed soybeans higher as funds actively covered short positions. The rally in corn futures is also a selling opportunity. Wheat futures showed little net change for the week as rains forecast for the Plains competed with spillover support for traders' attention.
Pro Farmer Editor Brian Grete highlights this week's Pro Farmer newsletter below:
Cattle futures softened despite a surge in boxed beef prices. Lean hog futures posted sharp losses as traders removed more of the premium summer-month hogs hold to the cash index.
We look at minor changes to domestic and global balance sheets -- and much more -- in this week's Pro Farmer newsletter.