Deliveries are running the show today in the complex. HEAVY(B-1,015/M-303/BO-1,442) deliveries in oil and beans and could even be indicated in that manner for meal as we seldom have seen meal deliveries in the last few years. ADM obviously wanted the oil capacity expanded for the first day, but did nothing on meal. However, oil deliveries looked like a listing of crushers and oil plants across the US. AND YET, we are higher on oil in the K overnight. The large bean delivery in Chicago was a surprise to me, more so the fact it was 4.575 MB. Even so, the spread is unchanged overnight, thus we may have a stopper. Meal and oil redeliveries will be interesting today. Elsewhere, weather continues to push back planting of corn and spring wheat, thus possibly adds bean acreage. Progress is being made and expected to continue into the weekend in Argentina with excellent yields that could cover lost acreage to flooding. IGC is upping their world bean production for 17/18 by 3 MMT. Overall, we have negative inputs today, so a rally would indicate some lightening of the shorts by profit taking. Both sides should trade early, but a lower close could push the trade into a slide that will trend into new lows.
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