Author: Rob Fraser, Manager Vegetable Protiens

Below is a summary of data from the USDA report issued Aug 10, 2012. Report was bullish for corn, soybeans and wheat as demand switches from corn to wheat. The initial reaction was a hard run up followed by a sell off. Prices have since recovered those losses and basis is firming signifying good commercial demand in a market that has tighter supply.

Soybean crush margins are positive in USA and China. China has concerns about food price inflation, which will support further buying of beans from China wanting to contain inflation internally