DEC 13

[12/13] FED is having their monthly meeting starting today and will conclude this Wednesday. They will decide to do more tapering and decide when to raise the rate next year. Controlling the inflations is the key but if you look at those daily confirmed cases of COVID19, still around 120~150K people in US, big Pandemic also continues. Not only US, but all other countries are also facing very similar situations. Pandemics and Inflations are happening same time. Not a good thing at all and today’s global equity markets, exactly showing what investors are worrying about. Stock markets were down, USD Index jumped and most of commodities were going down fast alongside with others. DJ fell 0.7%, S&P fell 0.6% and NASDAQ downed 1.0% today. Brent oil futures downed 1.0% and ended at $74.39 per barrel. USD Index up 0.2% today. So, where are we all going to? In Ag market, let’s see some big changes today. US Midwest hit by huge tornados over the weekend, hundreds of people died, and a lot of grain assets were destroyed. Still, not known how big damages are, need to count but surely not good news for US Ag markets. It’ll be another bullish logistic issue sooner or later. In Argentine, beneficial rained over the weekend and it’s hugely good thing for Argentine’s new crop. But no rained over the Southern Brazil regions. New crop corns of Rio Grande De Sol state, no rains over 50 days now. They need rains. Better weather in SA news dragged down the Ag market big today. Some wheat futures markets were surged back today with some technical buying and intermarket spreading. Corn, soybean, meal and soybean oils were all downed. China have not moved a lot over the weekend, just a couple of soybean cargos were covered. Big Ag buying country, Turkey got hit big by another currency issues now. Similar things could happen to many other countries soon and it’ll be automatically affected to their Ag import demands. Turkey is just extreme example of this difficult states. We need to see how it develops closely.

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