What Traders are Talking About:
* Risk off to start the holiday week. There's more doom and gloom on the global economic front, especially from Europe, where bond yields are on the rise. Spain is the latest euro-zone country to fuel investor concerns as a change in ruling party over the weekend failed to calm investor nerves. France will be the next country to keep an eye on in the euro-zone. Meanwhile, China's vice premier warned over the weekend the global economy is headed for recession.
The long and short of it: Traders are taking a risk-off approach to start the week, which is negative for commodities, including grain and soy futures.
* Super Committee appears to have failed. The "Super Committee" appears set to announce later today it has failed after three months of talks to come up with a plan to reduce U.S. debt by at least $1.2 trillion over ten years. Technically, there is still time to come up with a plan as the deadline is Nov. 23, but midnight is the theoretical deadline since a plan would need to be scored by the Congressional Budget Office and voted on before Wednesday. While investors were not betting heavily (or at all) that the committee would be able to bridge differences on taxes and spending, the inability to come up with a deficit-reduction plan is still a major disappointment.
The long and short of it: Focus now shifts to credit rating agencies, which could downgrade the U.S. rating.
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