Nogger's Blog

05/07/11 -- The overnight grains finished stronger after their three day weekend with wheat ending around 20-22c firmer, with corn up 10-16c and beans 12-14c firmer.

It would seem that the market is hopeful rather than confident that downside potential has run it's course. There are a few bargain hunters around it appears after last week's shake out. Firmer crude and gold offer outside support.

Will fund money come flooding back in now that we are into a new month? Have Greek jitters gone away? The ECB is widely expected to raise eurozone interest rates this week, yet S&P's are saying that getting private banks to roll over some Greek bonds would constitute a “selective default” anyway.

China reputedly bought US corn on last week's price break and South Korea are in for more this week. Brazil's corn crop got hit by frost last week and may be in for more of the same in the next few days.

The USDA will report on crop conditions and winter wheat harvest progress after the close tonight.

Russia's Kommersant newspaper says that Gaddafi is starting to contemplate an exit plan as shortages of cash and fuel bite, according to report on Reuters.

Early calls for this afternoon's CBOT session: wheat up 20-22 cents, corn up 14-16 cents, beans up 12-15 cents.