Bullish Low-End Wheat stocks supporting our opinion that the gap between Durum and Ethanol Wheat will continue to narrow. Best hope for Durum is this spread narrowing enough before seeding that we get a larger shift into Sadash/Andrew acres. But with F.Gram levels in seed supply this will be hard to count on.
Key to Corn/Beans in this report is that Demand is holding up and only being offset by a very good S.American crop. Price rationing is not happening to the degree market expected over last 3 months. Bean acres in US may come in too low this summer.
Supply will always be volatile, it’s the grinding higher Demand picture that holds the truth about where prices go over time.