Market update

May Rbob crack Spread Showing a bit of Life

markets today not following much of a narrative precious metals sold off which I believe more technical in nature. Very little movement in Dollar index adds confidence to idea of technical move lower precious metals. After a good start to the year maybe the Reflation narrative, buy hard assets got a bit ahead of Itself and the bearish techs forced some players hands. very narrow range in Spoos overnight and post payrolls goes to show you how little markets care about Economic Data. A note over 490 K leisure and hospitality jobs were lost last month due to tighter lockdown restrictions, This should raise some alarm bells in congress and possibly be a reason for more stimulus. With a Loss in these jobs wages Increased smartly a bit of sticker shock, but once details were known Wage increases were not caused by demand for labor it was the lower paying jobs dropping out of equation. 10 year yields moved above the 1.10% level that some experts circled as an area of Concern, they were right some action or further selling did occur on a break.

March-Nov beans Crop report next week

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