From the floor of the CME group Chris Robinson, Traders Exclusive Contributor talks about the continued sell-off in grains and the report that came out last Friday. Corn and wheat have lost 30% since their highs in May and beans have lost 12-13%. At some point they will be oversold and investors should take advantage of the rallies coming off of that. There are perfect growing and crop conditions right now so there is no weather story to support correction. Funds have liquidated a massive long position. They were long 160,000 contracts of beans and are now short 11-12,000. They were long on corn 250,000 bushels and are now long 85,000. There was a big correction in cotton after the USDA report was bearish in this market. Cotton has come down to $.67/$.65 from around $.85/$.86 before. If there are changes in weather or demand from China, investors might see a change in cotton because it is a very volatile market. Robinson says investors could do a counter trend trade on any of these markets but should be very careful and use stops. ¿
TheStreet’s Fundamentals of Investing Course will teach you the keys to making the right decisions in any market.
TheStreet’s Personal Finance Essentials Course will teach you money management basics and investing strategies to help you avoid major financial pitfalls.
TheStreet Courses offers dedicated classes designed to improve your investing skills, stock market knowledge and money management capabilities.
More from Video
From Mega Millions to Powerball: Biggest Lottery Jackpots Since 2016
The odds of winning the Mega Millions jackpot and the Powerball jackpot are 1 in 303 million and 1 in 292 million respectively, according to Lottery USA.
Memorial Day Weekend: Outdoorsy Reveals the Best RV Camping Spots
Memorial Day is the unofficial start of summer and the vacation season that powers RV rental company Outdoorsy.
2 Tailwinds Could See Investors Shop for Retail Stocks in 2019 -- ICYMI
Wage expenses and freight costs could soon abate, a big tailwind for retailers heading into the rest of 2019. Here's what investors need to know.
Beyond Pricey? Our Reporters Try the Beyond Meat Burger, Talk Business Model
Is Beyond Meat's burger enough to convince investors to invest in the company? TheStreet conducted a taste test to see what the hype is about.