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The Buzz: Where's the Bottom?

Just what downside targets may you be facing this year - check out this video discussion.
Bryce Knorr 
Published: Aug 19, 2009
Grain markets have struggled in the wake of USDA's August crop reports, with good production prospects, favorable weather and bearish outside markets pressuring prices. With stocks of corn, soybeans and wheat projected to increase in the coming year, some producers are getting nervous that further downside potential exists into fall.
 
The Farm Futures marking team discusses downside targets and what to look for, in this week's edition of The Buzz. Senior Editor Bryce Knorr takes an in-depth look at the price charts, a key concern with corn and wheat making multi-year lows. Soybeans are still relatively strong due to tight old crop supplies, but the November futures chart is tossing off plenty of bearish signals, according to Knorr.
 
Market analyst Arlan Suderman says $3 corn should hold in theory, but could fall if funds exit positions or start selling outright. That would be painful in the short run, but would likely increase demand substantially, setting the stage for a faster rebound in 2010.


The Buzz - August 19, 2009 from William Vogt on Vimeo.





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