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Thinking about Soybean export sales yesterday. The flash sales have been getting smaller, but total sales for the week kept up the pace, over 2.5mmt.
To me this is an indicator of how tight elevation is getting. Commercials are selling one cargo at a time instead of 3 or 4.
To me this is an indicator of how tight elevation is getting. Commercials are selling one cargo at a time instead of 3 or 4.
All going well, US export assets have enormous capacity. But the more you use that capacity the less room for error you have. It’s going to be a huge program, and the MTM P/L of exporters is fantastic-but with harvest upon us, the reality of executing the program comes as well.
It’s easy to sell, especially with 30 cent margins, any keyboard monkey can do it. But to max out a pipeline in the shape of hundreds of millions of dollars of assets is the challenge. Can we stick the landing?
Think of elevations like a jenga tower. The longer the game goes, the fewer moves you have, and the easier it is for the whole thing to crash.
Oh by the way, China still has 10mmt or so for OND to cover.
Oh by the way, China still has 10mmt or so for OND to cover.
