Bower Trading Market Strategy Report: Putting the USDA Behind Us

Bower Trading Market Strategy Report: Putting the USDA Behind Us


Jim Bower

Last week, the USDA shocked the market with a hike in estimated corn yields and the prediction of a larger corn crop. The market sold off on Thursday, but recovered a bit on Friday. Jim Bower, with Bower Trading, sees the market starting to shift its focus to weather and demand, “The weather in South America will now take on a much more important role, especially as we get into January and February.” Bower noted that on Friday there was a very uncertain tone in the trade, “It is like nobody wanted to make a decision or take a new position.”

“The pace of buying by China will help the soy complex a lot more than most people realize,“ noted Bower. “The market is on a mission to get more soybean acres next year than corn.”

We have also seen a good deal of volatility in outside markets, primarily the stock market and oil market. That is having an impact on the commodity market, according to Bower. He stated, “We have more investor funds drifting into the commodity markets as we are seeing more investor interest in the commodities across the board.”

For more market strategy information, contact Bower Trading at 800-533-8045 or bowertrading.com.

This material has been prepared by a sales or trading employee or agent of Bower Trading Inc and is, or is in the nature of, a solicitation. This material is not a research report prepared by Bower Trading Inc. By accepting this communication, you agree that you are an experienced user of the futures markets, capable of making independent trading decisions, and agree that you are not, and will not, rely solely on this communication in making trading decisions.

DISTRIBUTION IN SOME JURISDICTIONS MAY BE PROHIBITED OR RESTRICTED BY LAW. PERSONS IN POSSESSION OF THIS COMMUNICATION INDIRECTLY SHOULD INFORM THEMSELVES ABOUT AND OBSERVE ANY SUCH PROHIBITION OR RESTRICTIONS. TO THE EXTENT THAT YOU HAVE RECEIVED THIS COMMUNICATION INDIRECTLY AND SOLICITATIONS ARE PROHIBITED IN YOUR JURISDICTION WITHOUT REGISTRATION, THE MARKET COMMENTARY IN THIS COMMUNICATION SHOULD NOT BE CONSIDERED A SOLICITATION.

The risk of loss in trading futures and/or options is substantial and each investor and/or trader must consider whether this is a suitable investment. Past performance, whether actual or indicated by simulated historical tests of strategies, is not indicative of future results. Trading advice is based on information taken from trades and statistical services and other sources that Bower Trading Inc believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades.

 

 

The post Bower Trading Market Strategy Report: Putting the USDA Behind Us appeared first on Hoosier Ag Today.