May 22, 2015 03:41 PM
Bears were suggesting capitulation in corn & soy, with grain starting to move at weaker basis in areas where the corn is all planted and off to a good start. They were smugly waiting for the real panic selling to begin. Capitulation is a key concept for forming market bottoms, whether in stocks, currencies or commodities. Panic has to set in to drive things too low and make them an obvious buy for those with deep pockets. Capitulation is notoriously hard to define until after the fact.