|
| They’ve bought 170-180k contracts without this big rally you’ve touted, why can’t they buy another 180k without raising price. Perfect time of year to cover it as farmer sells at harvest for cash needs. Your record short/big rally/elevator empty stories are irrelevant as the farmer is record long and has to sell before the funds have to buy. I tried to describe how this was going to work out 10 weeks ago but Uber bulls kept falling for the “record short “ story that uneducated analyst were trying to sell. For every transaction, there is a buy and a sell. Funds were record short and just sat back and waited as they knew with 100% certainties that the farmer had to sell. The worst thing they could have done was sell into the fund position, but the funds knew they would as it’s such a seasonal pattern. Throw into the mix that the crop got bigger all summer and there was zero reason for them to buy aggressively. They knew there was old crop supplies available and they know there is a surplus of new crop regardless of what a few acres in Kansas is yielding.
Edited by Joe R 9/8/2024 09:00
| |
|
Musings from the land of 60 bu corn..
