Market Comment
Last evening Kevin Duling sent his clients his weekly letter. Here are his highlights:
"Did we cross the threshold this week? Did we hit the point where everyone is ready to throw in the towel and give up any hope of any kind of rally in anything? I cannot put my finger on it, but after talking to a few folks this morning, most can sense a change. I felt it last night after sending out that YouTube video. In my case, it was a relief because I set up market boundaries for the wheat complex, so I could take some emotion out of it. Simply put, if support holds, we hold. If support gives out, we need less (risk) exposure."
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About Spring Wheat:
"The structure in this market is starting to bubble. People are starting to notice. The deliverable stocks came out and matched the 2012 low. Reports of far less Canadian trucks at N Plains mills/elevators are coming in. We have a record hedge fund short coupled with a record commercial long. With this market, it’s not a matter of if, but when?
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