Improving weather forecast triggered a technical breakdown in yesterday’s session. Soybeans were the surprise of the day, rallying off of technical support on little new news.
The grain markets continue to be trade off of the ever-changing weather forecasts, keeping volatility alive and well. As stated in previous reports over the last week, both the bulls and bears will have days of vindication in the coming weeks and months.
U.S benchmark finished lower yesterday, a day after President Trump poured cold water over trade hopes. One topic at our trade desk yesterday morning was the resilience in U.S Treasuries ahead of U.S hours, as if they were the canary in the coal mine for a weak session to come.
U.S benchmarks are holding ground at record levels ahead of a deluge of bank earnings, economic data and Fed speak. Citigroup kicked things off yesterday beating top and bottom-line estimates but finished near unchanged.
Price action is lingering just below with U.S and China trade talks and Middle East tensions front and center. China confirmed this morning that lower-level delegates are preparing for a meeting between President Trump and President Xi on the sidelines of the G-20 Summit June 27-29.
