Following the WASDE report the beans fell apart and corn held ground. Now everything is rallying ith support gained from crude and equities.

The sentiment is this; the biggest yield we can possiblly see in corn was seen this morning and the trade feels fair value is at $320 basis Dec. In beans, fundamentalists understand the crop is made in August and the weather forecast looks benign to bearish.

Volatility has been hammered as expected with CU losing 10% and SX losing 3.5%.

Overall a disappointing response for bulls with bears takingiton the chin onthe way back to the upside.

This entry was posted on Wednesday, August 12th, 2009 at 12:43 pm and is filed under Grains. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.