IN555 - 11/8/2023 09:07

Yes China hasn't been buying like we need but this is a nice start. The question becomes who is left to sell it? The funds have a very small long position left, the producer has a short crop along with a good cash position. Where is the capitulation for lower prices going to come from? I think we are seeing it in corn but soybeans are a completely different setup. Any kind of hiccup in SA and the fuse is lite. Wagers are starting to be placed in case it happens. I can not emphasize enough the weight being put on SA production this winter counting on 221mmt vs the previous record of 195.7 to make the world balance sheet look comfortable. If they just match the previous record that puts world ending stocks at just 90 mmt which is the lowest since 2015 when total use was 69mmt less per year.[/QUOTE

This is good information