Back from the weekend and markets have again been in a subdued tone, lacking overall direction. Wheat Managed Money reduced the number of long positions down to 76.7K contracts while once again increasing the number of short positions to 74.4K contracts. Overall funds have nearly equal long and short positions, far from a bullish stance of price. In Friday’s WASDE, the USDA took into account the known changes from StatsCan and ABARES with little new impactful market-moving information. Corn The risk-off and scaling back attitude extended to corn, with Managed Money funds decreasing the number of long positions held in corn once more last week, down from 281K to 256K by last week, the lowest number held since mid-July, while the number of short positions increased to the highest number held since mid-January. The key takeaway from the September WASDE was increasing to US production estimates with increasing harvest area estimates and yield projections. Chinese imports remain estimated at 26Mt. Soy Fund long positions in soy too were trimmed last week, down to 87K contracts, down from 93K the week before, down to the lowest number held since May 2020 as the bullish stance toward oilseeds continues to diminish. The September WASDE contained minimal changes to supply and demand estimates, with only a minimal increase to US stock and production estimates. Read the full WASDE here |
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