Beans fundamentals

Discussion in 'Commodity Futures' started by J-Law, Jun 30, 2007.

  1. J-Law


    Can anyone interpert the below news clip pertaining to beans amidst the acreage reports, limit up beans, weaker basis etc....

    "June 1 stocks in all positions were reported at a record 1.09
    billion bushels, up 10% from June 1, 2006. Indicated disappearance during the
    March-May period was 696 million bushels, up 3% from last year. "

    Is this noteworthy ??
    Any comments ???
  2. The acreage number was the main reason for Friday's movement.
  3. There is a lot of noise out there ... However from a fundemantal perspective there are two key figures to keep an eye on: ending stock and stocks to usage ratios. They boil down the data to the bottom line: supply and demand.
    Ending stocks represents supply left over from last year's stocks.
    Stocks to usage is the amount of leftover soybeans vs. a full years worth of demand. Hope this helps!!!