The Grains Review For the Week of May 07, 2012
Coming back from the weekend traders see a changed geopolitical climate. The French socialist election caused tremors through all markets with a distinct bearish tone noted in the commodity sector as the Euro tanked against the USD. Some of the initial negative sentiment has eased with the Euro and crude recovering from overnight lows into the morning sessions following the knee jerk. The trade will be lower early but there is growing interest in old crop corn to move higher after May held a positive tone overnight. Corn basis is the story this week heading into WASDE on Thursday with central IL and the Gulf on fire. Central IL is trading 50 plus over for spot and nothing is moving. The CK-N spread showed exceptional strength overnight holding Friday
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