Aug 30, 2014
Home| Tools| Events| Blogs| Discussions| Sign UpLogin


Outlook Today

RSS By: Bob Utterback, Farm Journal

Bob Utterback has more than 26 years of experience and offers producers a disciplined approach to marketing.

Looking forward to Monday’s USDA Supply and Demand report

Jan 09, 2009
Traders have been working all day at getting ready for Monday's USDA Supply and Demand report. Expectation going into the report is for beans to be bullish, wheat to be neutral and corn bearish. The obvious question is will the bullishness of beans overpower the bearishness of corn? So far beans have been the leader and I would expect this pattern to prevail until we get some rains down in South America. Today’s weather reports have taken much of the rain out of the forecast which pushed beans sharply higher today. 

So looking to Monday, I will be watching March corn carefully as to how it trades between the $4.21 and $4.28 level. If it gaps above on strong buying because of the bullish beans, I will be watching to be a strong day trader on the short side.

In regards to beans I truly believe the bean bulls are just about to factor in all the bullish elements. We could have one more bullish event which will be the final 2008 production numbers later this month. As we move into early February, I see little to no reason for beans to continue their upside price moves in the November 2009 beans. My focus will be to watch very carefully for a bullish report and bearish reaction in the deferred contracts. I continue to stress the potential for a large increase in acres which will put big pressure on November beans.

So in summary: I would like to sell a bounce up in corn and price on correction into early February and then be neutral to bullish corn all the way into early summer while beans would be the complete opposite pattern. In the end, this should add a lot of confusion and volatility to the market. All producers can do is decide what they want from the market and be prepared to act when opportunities are given.

If you want to go over details or would like to read more daily recommendations regarding reownership or marketing strategies, email me at utterback@utterbackmarketing.com or laura@utterbackmarketing.com.

BEFORE TRADING, ONE SHOULD BE AWARE THAT WITH POTENTIAL PROFITS THERE IS ALSO POTENTIAL FOR LOSSES, WHICH MAY BE VERY LARGE. YOU SHOULD READ THE “RISK DISCLOSURE STATEMENT” AND “OPTION DISCLOSURE STATEMENT” AND SHOULD UNDERSTAND THE RISKS BEFORE TRADING. COMMODITY TRADING MAY NOT BE SUITABLE FOR RECIPIENTS OF THIS PUBLICATION. THOSE ACTING ON THIS INFORMATION ARE RESPONSIBLE FOR THEIR OWN ACTIONS. ALTHOUGH EVERY REASONABLE ATTEMPT HAS BEEN MADE TO ENSURE THE ACCURACY OF THE INFORMATION PROVIDED, UTTERBACK MARKETING SERVICES INC. ASSUMES NO RESPONSIBILITY FOR ANY ERRORS OR OMISSIONS. ANY REPUBLICATION OR OTHER USE OF THIS INFORMATION AND THOUGHTS EXPRESSED HEREIN WITHOUT THE WRITTEN PERMISSION OF UTTERBACK MARKETING SERVICES INC. IS STRICTLY PROHIBITED. COPYRIGHT UTTERBACK MARKETING SERVICES INC. 2008.
 
 
Log In or Sign Up to comment

COMMENTS

No comments have been posted, be the first one to comment.

Receive the latest news, information and commentary customized for you. Sign up to receive Dairy Today's eUpdate today!

 
 
 
The Home Page of Agriculture
© 2014 Farm Journal, Inc. All Rights Reserved|Web site design and development by AmericanEagle.com|Site Map|Privacy Policy|Terms & Conditions