08-21-2013 06:40 AM
Pro Farmer setting a bearish tone yesterday but things have bounced back overnight on more reports of dry weather and forecasts don't look to be changing anytime soon. This is all adding to an already volatile August and doesn't look to be ending anytime soon. Very difficult to trade and even harder to turn a profit.
Soybeans gaining on corn as frost fears do the rounds on the floor.
Overnight corn up 3, wheat up 5 and soybeans up 16.
Nothing significantly changed as weather continues to be a driver.
Oil off again to $104.73 which is down .38 cents.
Gold also struggling down $3.42 to $1367.75. The key thing to watch has been the 10 year and trying parse through all the taper talk. Productivity is low. Unemployment is high. No real change in wages. Where does the FED see all this strength in the economy coming from? I have to remind folks that we pour $85 Billion into the economy per month and we still can only muster up a 1.5% GDP. That is downright sad.
I would prefer no QE but right now the economy is way too fragile to do anything drastic. More sequester cuts in the 4th quarter. Obamacare in January. A new FED chairman. Too many things to get over to do anything but hold tight.