The USDA report follows a May report that shifted the 2016/17 crop outlook from definitively bearish to moderately less bearish.
Natural Gas
Stronger Chance For a December Federal Reserve Interest Rate Hike
A much better than forecast look at October US jobs data has strengthened the chances for a December Federal Reserve interest rate hike.
This Week’s Economic Outlook
Once again it appears that deflationary sentiment has reached an excess level with respect to physical commodity pricing.
Global Recovery On the Horizon
We think that a September US rate hike is off the table because of a lack of definitive forward progression in the US jobs sector. The unending Greek saga combined with a rising Dollar has created enough headwinds to keep the Fed on the sidelines until later in the year.
Commodity Sentiment Anticipating Normal Inflation Ahead
Things are changing on the macroeconomic front, as instead of patently deflationary fears, sentiment is starting to anticipate normal inflation ahead.
Migration Toward a Global Recovery
Not surprisingly, the Euro zone debt crisis continues to linger, and the situation in the Ukraine remains highly fluid.
Global Negative Sentiment Exceeding Rationality
Global Negative Sentiment in many ways has probably already exceeded rationality. To the bears’ credit, unrelenting declines in crude oil, copper and equities justifies some fear of slackening demand.
Negative Sentiment is Overblown!
Recently a talking head on a major television business program was lamenting the ongoing pressure on equities due to the weakness in energy-related shares.
Commitment to a Return to Growth
While the pace of the world economy remains disappointing to most commodity markets, a long list of central banks are exhibiting a commitment to a return to growth.
Positive Forward Economic Views
Tthe outlook for the global economy is quite positive…