Florida’s Orange Citrus Industry in Worst Shape in a Century; Orange Juice Futures

Orange juice futures have been thrusted higher over a tiny-winged Asian-insect wreaking havoc by spreading a bacteria and killing-off the trees making harvests as small as they were 50 years ago. Today orange juice futures are down $1.10 per pound currently trading at $146.75 per CWT at the Intercontinental Exchange. The Florida Dept. of Citrus is looking ahead and they see the harvest of their prize crop dropping to 27M boxes by 2026, according to their report last month The current harvest that began last month is seen shrinking down to 74M boxes and is 24% less than a year ago and the least amount since 1964. Since this is the fourth consecutive seasonal decline in a row, this is considered the longest slump since 1913. “The outlook for Florida’s orange juice (futures) industry isn’t looking so good with a bug spreading a virus with no known cure,” said Devin Brady, President of Progressive Trading Group in Sherman Oaks, CA, sharing his fundamental assessment of the orange juice futures market. Brady added, “The citrus industry there risks losing a severe economic impact for the state but what’s more important is their reputation and relevance.” The trend for orange juice futures is up but with a possible top in progress. Orange juice futures is a market best left to the professionals at this time because of excess volatility. ALL COMMENTARY IS CONSIDERED OPINION & VIEWS FROM THE AUTHOR AND NOT A SOLICITATION OF ANY SECURITIES. THE RISK OF LOSS IN TRADING COMMODITY INTERESTS CAN BE SUBSTANTIAL. YOU SHOULD THEREFORE CONSIDER WHETHER SUCH TRADING IS SUITABLE FOR YOU IN LIGHT OF...

Cotton Futures Tumble as Turkish Imports Set to Rise

Cotton futures is taking a dive today despite the USDA’s official statement of Turkish cotton dropping 17% this season because of low farmer returns. Cotton futures are are down $1.13 today, currently trading at $61.70 per pound today at the Intercontinental Exchange. The country of Turkey is the worlds second largest cotton buyer (behind China) and the lower production is reportedly going to help boost import demand by 9%, despite slack local consumption. The fall in plantings, described by the USDA Ankara bureau, is due to better perceived returns with corn in traditional cotton growing regions. “Farmers all over the world will gravitate to the higher paying crops at any given time,” said Laura Taylor, a senior market strategist at RJO Futures in Chicago, sharing her fundamental assessment of the cotton futures market. Taylor added, “Cotton is one of the harder crops – and rightfully more traditionally profitable – but take the monetary incentive away and the next best profitable crop will be grown.” Cotton futures trend has been yo-yoing up and down, back and forth all year long. Cotton futures is currently down with no bottom yet in sight. ALL COMMENTARY IS CONSIDERED OPINION & VIEWS FROM THE AUTHOR AND NOT A SOLICITATION OF ANY SECURITIES. THE RISK OF LOSS IN TRADING COMMODITY INTERESTS CAN BE SUBSTANTIAL. YOU SHOULD THEREFORE CONSIDER WHETHER SUCH TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL...

Schad Commodity’s Weekend Report: An Insider’s View of the Next Big Market Move

Once each week, usually on Friday evenings, we update our personal weekly commodity trading charts and review them for changes in “net long” or, “net short” holdings between the big commercial commodity traders, large speculators, and the usually uninformed public. This is our professional analysis of “the bigger picture” and current dynamics for each market which provide a spyglass view of the BIG commercial traders and what they are currently doing to influence the futures markets. As you may already know, insider trading with stocks on Wall Street is very illegal. However, in the commodity trading industry, large/commercial traders MUST report their positions EACH WEEK to the CFTC regulatory body, hence, we monitor them on a weekly basis. Although the futures markets themselves will ultimately provide the most accurate illustration of trend, these (weekly) charts we’ve identified, serve to forewarn us of the next possible bigger move. Here are the commodity markets which illustrate the changing bigger picture for them: UP Trending Futures Markets:  Sugar & Cocoa (New this week.) DOWN Trending Futures Markets:  Feeder Cattle, Euro-Currency, Soymeal, 10yr. T-Notes Soybeans and Gold, Copper, Kansas Wheat, Live Cattle, British Pound & Corn (These six new this week.) ALL COMMENTARY IS CONSIDERED OPINION & VIEWS FROM THE AUTHOR AND NOT A SOLICITATION OF ANY SECURITIES. THE RISK OF LOSS IN TRADING COMMODITY INTERESTS CAN BE SUBSTANTIAL. YOU SHOULD THEREFORE CONSIDER WHETHER SUCH TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL...

Africa’s Cocoa Exports Sends Cocoa Futures to New Highs

Cocoa futures rallied to new highs today not seen in four-and-a-half years as West Africa’s cocoa season is reportedly off to a great start. Cocoa futures are up 15 points today trading at $3,392 per ton at the InterContinental Exchange in London. One of Africa’s top agriculture investment bank’s stated the strong start is to be contributed with a rise in farm gate prices encouraging farmers there to drawdown current inventories. Other conditions exist which may keep cocoa in demand since the health of the new crop has yet to be evaluated, and fears of the effect of drier weather affecting this crop. Nicholas Medina, a futures and options specialist for Capital Trading Group in Chicago, shared his fundamental view of the cocoa futures market by stating, “The African cocoa farmers held back on inventory allowing the market to rally to their desired prices for selling their product.” Medina added, “With cocoa (futures) prices at multi-year highs, with uncertain conditions ahead, this situation can now convert to a ‘weather market’ that will have to be watched.” The trend for cocoa futures is up with no top in sight. Much resistance at current levels, but has cocoa futures have proved to be a “buy the dips” market for the past couple of months. ALL COMMENTARY IS CONSIDERED OPINION & VIEWS FROM THE AUTHOR AND NOT A SOLICITATION OF ANY SECURITIES. THE RISK OF LOSS IN TRADING COMMODITY INTERESTS CAN BE SUBSTANTIAL. YOU SHOULD THEREFORE CONSIDER WHETHER SUCH TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL...

Schad Commodity’s Weekend Report: An Insider’s View of the Next Big Market Move

Once each week, usually on Friday evenings, we update our personal weekly commodity trading charts and review them for changes in “net long” or, “net short” holdings between the big commercial commodity traders, large speculators, and the usually uninformed public. This is our professional analysis of “the bigger picture” and current dynamics for each market which provide a spyglass view of the BIG commercial traders and what they are currently doing to influence the futures markets. As you may already know, insider trading with stocks on Wall Street is very illegal. However, in the commodity trading industry, large/commercial traders MUST report their positions EACH WEEK to the CFTC regulatory body, hence, we monitor them on a weekly basis. Although the futures markets themselves will ultimately provide the most accurate illustration of trend, these (weekly) charts we’ve identified, serve to forewarn us of the next possible bigger move. Here are the commodity markets which illustrate the changing bigger picture for them: UP Trending Futures Markets:  Sugar & S&P 500 Index DOWN Trending Futures Markets:  Feeder Cattle, Euro-Currency, Soymeal, 10yr. T-Notes and Crude Oil, Lean Hogs & Soybeans (These three new this week.) ALL COMMENTARY IS CONSIDERED OPINION & VIEWS FROM THE AUTHOR AND NOT A SOLICITATION OF ANY SECURITIES. THE RISK OF LOSS IN TRADING COMMODITY INTERESTS CAN BE SUBSTANTIAL. YOU SHOULD THEREFORE CONSIDER WHETHER SUCH TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL...