WASDE Aftermath
Presented by Heartland Investor Capital Management Inc. CTA
Wheat
USDA delivered aggressive cuts to hard red winter wheat production
Winter wheat supply tightened significantly across the Plains
Kansas and surrounding regions saw the largest yield reductions
Market reaction turned sharply higher on tighter supply expectations
Corn
Balance sheet held relatively steady on headline numbers
Feed demand substitution from wheat is tightening outlook
Acreage and export demand remain key next drivers
Market watching for further tightening into summer updates
Soybeans
New crop carryout revised lower on demand adjustments
Exports and crush continue to provide underlying support
Price structure remains in a steady stair-step uptrend
Trade expectations remain key variable for next moves
Cattle
Feeder cattle led a sharp downside reversal
Technical breakdown occurred after key support failure
Volatility increased with policy and trade headline sensitivity
Sentiment shifted quickly despite prior seasonal strength expectations
Macro Grain Outlook
Overall grain balance sheets tightened across wheat corn and soybeans
USDA tone shifted more supportive than prior expectations
Supply side risk is now more market relevant
Weather acreage and global demand become primary drivers
Provided by:
Eugene Graner,
Heartland Investor Capitol Management, Inc., CTA
(A separate entity from Heartland Investor Services)
Past performance is not indicative of future results. The information contained in this report is intended for informational purposes only and is the opinion of the writer and may change at any time. This information was compiled from sources believed to be reliable to Heartland Investor Capital Management, Inc. but accuracy cannot be and is not guaranteed. There is no warranty, expressed or implied, in regards to this information for any particular purpose. There is SIGNIFICANT RISK of LOSS involved in trading futures and / or options on futures and may not be suitable for all investors. Investors should consider these RISKS and evaluate their suitability based on their financial conditions. No one should ever consider trading futures or options on futures with anything other than RISK CAPITAL. NO LIABILITY on the part of the author exists for any trading loss you may incur in the use of this information. The information contained in this newsletter is privileged, confidential and protected from disclosure. Any further disclosure or use, distribution, dissemination or copying of this message or any attachment is strictly prohibited. Provided by Heartland Investor Capital Management, Inc. a registered CTA with the NFA, of which Eugene Graner is principal. This entity is a separate legal entity from the Introducing Broker Heartland Investor Services.