The Buzz: Soybeans Leading the Markets
Futures face first seasonal selling points.
Compiled by staff
Published: Apr 16, 2009
"Traders are going to be reluctant to be short soybeans," which should tend to support corn and wheat prices as well, Farm Futures Market Analyst Arlan Suderman said on this week's edition of The Buzz. However, new crop soybeans could be the most at risk, because rallies ultimately could buy acres in South America.
Farm Futures Senior Editor Bryce Knorr said producers wanting to make new crop sales with options should consider combinations, due to high premium costs. "New crop soybeans are an easier sell in my book right now," says Knorr, suggesting coupling the sale of a call with a bear put spread.
The bean rally has helped futures try to break away from the influence of outside markets, but Wall Street could still be an influence, especially with the stock market struggling to get trough important chart resistance levels.
For more, watch this week's video feature, The Buzz.
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Tagged: soybeans, farm, farm futures, wheat, farmfutures
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