- Chicago markets started the week sharply higher on fund buying and new spec purchasing. Corn has moved above its 20 day moving average which triggered further buying. Soybean markets have also moved up on additional Chinese market pricing and we could be looking at further gains into midweek when FSA data is published.
- News of freezing weather in Brazil, which is suggested to cause damage to wheat crops in Parana, RDGS and Santa Caterina lent support to wheat markets although it will likely take a few days to fully asses the true level of any damage. Early estimates are putting damage at 20-50% of yield potential – although it must be reiterated that this is only an early estimate. December Chicago futures have rallied back to resistance levels although not through them – yet!