27.05.2015 - Financial markets undercut commodities
Financial markets are undercutting commodities. Renewed concerns about European Monetary Union and the euro have surged again this week, thereby spurring big U.S. dollar gains and sending stock indexes lower. Both of those reactions are seen as negative for commodity demand, which is probably a big reason corn futures fell this morning. The outsized wheat breakdown apparently weighed on corn as well. July corn futures slumped 5.0 cents to $3.55/bushel just before lunchtime Tuesday, while December lost 5.0 to $3.7275. Argentina’s labor situation may be supporting the soy complex. The recent rebound in palm oil prices is probably boosting the U.S. soyoil market as well, but one has to wonder if the worsening Argentine labor situation is supporting the whole soy complex.........................................Full Article: Source
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