OptionEye - Macro Outlook - July 6th

[ShelladyOptions]

Good morning. 

Favorable weather sending futures lower overnight and into this morning. 

Overnight corn down 7, beans down 17 and wheat down 14. 

As far as stocks are concerned Greece is the word. We are down over 11 points in the S & P future this morning but have pared a lot of the earlier losses by almost half. Bonds have reacted similarly and are showing a 10 year yield of 2.29% this mornind as we see a flight to quality across the board. 

Oil getting hit hard on Iran deal talks, Greece and worries of a slowing Asia. WTI this morning is trading at $54.10 down $2.83. 

Gold lower as well to $1165.13 down $3.35. 

The dollar is stronger by .33 to 96.44. 

Economically speaking we get Markit US Composite PMI and ISM Non-Manf. Composite. 

This looks to be a fairly volatile summer. 

[jec22]

Scott, is the trade worried about a 2008 economic meltdown that take the grains down even more?

I might have to differ that the weather is favorable.  Lots of leaf diseases in Iowa's corn crop that does not need more rain for a while and neither does the seeping side hills or swollen rivers. Plenty of beans that need sprayed also.  Cost per acre just went up more with fungicide treatment needed.

Now, Scott, I haven't seen you answer many questions, so I assume you just get paid to post.  But if you would be willing to respond, I would appreciate how you feel the closing of floor is going affect trade and you and the other floor traders personally.  Do you lose all that equity you have in a floor spot?  

[roarintiger1]

Favorable weather sending markets lower...........You can't make this stuff up folks.

[juliedavis91849]

You bet the trade is worried; we'll be lucky if it's only a repeat of 2008-

A market that is epileptic is sending us a a Mc-size message :

Doctor to Market : "Your economic seizure (planet wide) is worsening, ja.."  "I recommend you turn on the printing presses and print your way to prosperity.  Let's do a follow-up in the fall and see if this doesn't help especially the farmers-"

Meanwhile...

Draghi tweets Greece,  "eat cake"...

So, expect Greek riots any second now-

Communist China sends their own twit :

Reds to Pension fund managers :  "You no leave, even if you sitting on tons of underwater positions...you, NO LEAVE."

When things are bad for CB's (Central Banks..a.k.a "Alphas) then it's very bad...worse for us.

over