The Lunchtime Bite

22/06/12 -- The electronic grains are up across the board, with the exception of soyoil. For the week so far, including overnight action, we see old crop Jul 12 corn 16 3/4 cents higher, with new crop Dec 12 up 53 1/2 cents - an increase of more than 10%. Old crop beans are up 58 cents and new crop Nov 12 has added 68 1/2 cents. Jul 12 Chicago wheat is 65 3/4 cents firmer and Dec 12 up 60 1/4 cents.

There's some pretty meaty gains there, it will be interesting to see if the can hang onto them this afternoon. It is Friday after all.

The market seems to be developing "that look" again. Riding for a fall my Mum used to call it. The bulls have an air on invincibility about them once more. "This crop is toast and the only way is up big buddy. The world's gotta eat. If every man, woman and child in China ate just one more chicken nugget each then we'd run out of corn by next Tuesday, etc, etc.." That sort of thing.

Cue the USDA and their June Acreage report a week from today. The stage seems set perfectly for them, and we do know how they like the limelight.

Russia's Deputy Minister of Agriculture says that a revised grain production forecast is in the wings, and it's likely to be "considerably lower" than the 94 MMT estimate that they've been standing by for some time now. I bet it won't be as low as SovEcon's 85 MMT that is already in the market though.

They've exported 26.7 MMT of grain so far in 2011/12, and are likely to finish the season at around 27 MMT, he adds.

In yet more farting about, the CME Group now say that the open outcry pit session will trade until 2pm local time starting on Monday. That means that it and the electronic session will now both finish at the same time, which is 8pm in English money.

How many changes to trading times is that? I've lost count. What an embarrassing shower of money grabbing ne'er do wells they really are. We're only doing what the people want, they say. But then again that's what Pol Pot and Hitler used to say.

Don't get too comfy that you've finally got your head round these new trading times though, because it's all change again on Friday. With the USDA due out with their acreage and quarterly stocks report at 7.30 am local time, or 3.30pm in the good old U of K, the daytime session will kick off ten minutes earlier than normal - not that we really know what "normal" is any more.

Confused? You should be.