Wheats are mostly lower on the futures. World wide wheat looks to rub against feed values at these levels. Corn and Beans seem to be taking direction from crude oil and the value of the dollar. With crude hitting $130 and the dollar weaker, translates into stronger corn/ beans. The 6-10 day forecast is actually looking very good for planting and crop development in the corn belt southern plains. Wheat harvest has progressed to northern Texas/ Louisiana. Louisiana looks like they have switched over 400m acres from cotton to wheat this year.

Ocean rates keep right on soaring. Bulk dry rates for Panamax’s are expected to hit $300m/ day with no end in sight. Chinese demand for iron ore/ coal seem insatiable. According to Lloyd’s list there are over 100 panamax size ships waiting/ delayed in Aussie and Brazil. Brazilian land prices hit a new high at over $2500/ acre. Egypt booked Russian wheat. Cheapest US wheat offered was SRW and it was still (even with weak $$) about $1.28/ bu too HIGH. Argie has suspended the strike…again…for now. Aussie growers are expected to plant a record amount of acres…total projection today is for some 34.5 myn acres. Lots of time between now and harvest for them…weather can easily work both/ or either way for them.

The investment weight from hedge funds/ Euro banks/ pension funds are still being felt in all commodities. With energy stocks/ commodities getting the bulk of the strength. Which funds are holding the biggest investments? Goldman Sachs is #1, Morgan Stanley is #2. Money continues to flow into commodities even out 2+ years.

***Didja Know: Wheat is Oregon’s #6 crop? Behind: Nursery crops, Cattle/ calves, Grass Seed, Milk and Hay? Rounding out the slots from 35-40 are: Sugar beets, Sheep/ lambs, salmon, Mink, Tuna, and shrimp. Didn’t know Oregon was so diversified?

***All bids are subject to change, please call for CONFIRMATION of prices. All information in this letter is from sources deemed reliable, and is for informational purposes only***