- We have seen mixed prices today with wheat the downside leader with corn and soybeans heading in to the close in positive territory. Larger FSU wheat harvests and news that EU sanctions against Russia are unlikely to involve trade have helped wheat whilst corn and soybeans continue to take flight in the face of drier conditions.
- Fund short covering has been noticeable as Nov ‘4 soybeans made gains taking them back over the psychologically important $11.00/bu level and Dec ’14 corn made an attempt at closing the recent “gap” at $3.78/bu (unsuccessfully at the time of writing). Regardless of the hype by the bulls, neither corn or soybean crops are showing any sign (yet) of stress and we remain sceptical at this time that the bottom has yet been seen in either market. Maybe this is the time for nerves to get stronger!