Stuck In The Middle With You

At times like this I always ask myself "what would Stealer's Wheel do?"

Trying to make some sense of it all,
But I can see that it makes no sense at all,
Is it cool to go to sleep on the floor,
'Cause I don't think that I can take anymore
Clowns to the left of me, Jokers to the right,
Here I am, stuck in the middle with you.

The early calls are 15-20c up on wheat, 8-10c up on beans and 5-7c higher on corn.

The USDA report is being called bullish despite all time record US production numbers for soybeans and corn. In addition by cutting their wheat production estimates for Europe, Russia, Kazakhstan and Ukraine all they have really done is confirm what we all knew anyway: Last month's numbers were wildly optimistic under the circumstances, the clowns.

Russia 45 MMT, Kazakhstan 11.5 MMT, EU-27 137.51 MMT and Ukraine 17.0 MMT. Do any of those surprise you? They shouldn't do as numbers like that have been kicking around for a week or two now, including on this blog.

Despite raising exports, US ending stocks for wheat still represent almost a 40% stocks to usage ratio, and global carryout dropping 12.3 MMT from to 174.8 MMT from 187.1 MMT still leaves us with a ratio of 26.3%. That's not awash I but it hardly calls for strict rationing either does it?

Those jokers the funds appear to hold the key to where we go from here.