Today will test the resolve of any new bulls as we are forging ahead on a crop in excellent condition, but again a perceived threat of hot, drier weather in the coming week to 10 days. Meanwhile, exports are out and it dropped values late into negative territory. OC sales were in need of a snorkel to breathe, especially in these choppy markets as cancellations outpaced sales. NC sales in beans were at least positive. Neither oil nor meal were anything to write home about. As a whole, it was disappointing. Basis remains firm and few if any deliveries are expected tonight as today is first position day and anyone fearing delivery in Q should be out of their long position by the close. Meal and oil should see some of the usual suspects delivering. Meal seems to be the newcomer to the game and may not have any out of the box, but I wouldn’t take that chance. Yesterday was a decent volume day with only meal finding an increase in OI. Spreads are a tad bit weaker. It will be a surprise if we don’t trade both sides today after we reopen, but any big move still seems to be a lower threat with the longs by funds still not liquidated.
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