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Mascoutah, Illinois | have overtightened and may have set themselves up for some bigger problems. According to reports out of China overnight, the constant tightening went a bit too far when banks reported money being lent out. Chinese banks loans came in 1.1 trillion dollars under what was projected. In listening to Jared Levy tonight, he believes WTI (West Texas Intermediate Crude) is heading for $79.00 a barrel. He also believes copper, coal, and iron ore are headed lower. He is of the opinion the dollar is heading higher from here. It is just one person's opinion (Levy's), but with what is going on in Europe and now in China this could be good news for our economy. Lower commodity costs could be very helpful to the United States consumer if we are trying to get a pulse for higher GDP growth.
Personal opinion on grains: I currently do not have one. Plenty of reasons to be in either the bull or bear camp. Right now, I am in neither. I am in the camp of the dollar going higher from here. It does not mean grains cannot rally with a stronger dollar if fundamentals are strong enough. We could have one more big butt whipping in grains as we wait on Greece. | |
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It appears the Chinese....
