US Crop weather, the June WASDE report and an ever changing picture in Europe will dominate the headlines this week in the grain and oilseed markets. The trading for the week will start out on a positive note, as European politicians were presented with a request from the Spanish Government for a bailout of approximately $125 billion dollars (100 billion Euros), pending an audit at the end of the week. Bullish traders will see this as an act of good faith, that the powers that be in Europe will cooperate and save each other along with the commodities markets. The bears will view this is as a failure, nothing more than a political symbol that only delays the inevitable. Last week the rhetoric from several US analysts was that a bailout would need to be somewhere in the amount of 350 billion Euros in order to stabilize the situation. Regardless, in the short run, this new development may encourage further short covering in the Euro currency and foster a risky atmosphere throughout every market. Corn and Beans should catch a tailwind from any overall shift in sentiment, away from fear and toward opportunity.
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