Wednesday, June 1, 2016

CBOT closing 1 Jun 2016

CBOT Jun 1   
  Last  changes
SMN  399.1 +2.5
SMQ  387.6 +2.3
SMU  381.1 +2.4
SMV  376.7 +3.2
SMZ  375.5 +3.4
SMF7  368.9 +3.6
SMH7  352.5 +2.6
SN  1099.75 +21.25
SQ  1095.5 +19
SU  1079 +14.75
SX  1068.5 +12.75
SF7  1064.5 +11.5
SH7  1039.75 +8.5
BON  32.19 +.37
BOQ  32.3 +.36
BOU  32.41 +.36
CN  413.75 +9
CU  415 +8.25
CZ  416.25 +7.75
WN  473.75 +9.25
WU  485 +9.5
WZ  503 +9.5

The markets opened lower but regained their footing with what appears to be first day of new fund buying activity.  Looks like the funds did not "dress-up" the close yesterday with high end closes, but chose instead to book those profits creating a day of weakness.  Today fund buying returned anew, with short-covering in wheat and new buying elsewhere.  Consumers were getting prices
booked on the weakness from yesterday.    

SOY
The soy complex started the day lower but commercials/consumers were taking advantage of lower levels to get something on the books, and prices popped higher.  Farmers are in the field and therefore hedge pressure remained light - as was overall volume today.  Meal prices worked both sides of unchanged, while the major feature was buy soyoil / sell meal spread trade.   This supported oilshare with  Dec  trading as high as .3067%.  Dec crush values were trading just under recent contract highs of 1.23c/bu to  1.18 c/bu,.  Traders were back to bullspreading bean and meal inverses, however, with July /Dec meal back to 25.60 (21.70 low) and July /Nov beans popping back to 33 1/4c high with a 22c low.      

GRAINS
Wheat futures bounced higher today as more traders covered in their shorts from yesterday's break.  July wheat/corn spreads traded to new lows at 59 3/4c but bounced up to 65 1/2c.   July corn prices found good support near the $4.00 level and prices quickly traded to new highs for the move upward at 4.13 1/2c.   July /Dec corn spreads narrowed back to 2 1/4c from a 3 3/4 carry, while July /Dec wheat traded to a 29 3/4c carry.

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