Commitments of Traders

So we want to keep that in mind as we move forward, especially looking at next year's production and what the markets would be responding to, that we're probably going to see a pretty big jump in winter wheat plantings this fall.

The Commitment of Traders report out on Friday showed that large traders had increased their Chicago wheat short position.

They had decreased their long positions in Minneapolis wheat, Kansas City wheat, and corn, and interestingly, had increased their long positions in soybeans.

Now, this is as of Tuesday.

Average price $346.90, which is up about 7 cents from where Wednesday's trade was.

The 70 average was up $172 at $338.79.

Commitment of Traders report out on Friday showed that large traders had increased their long positions in both live cattle and feeder cattle.

So cattle markets had a kind of an interesting week last week.

Patrick, before you

do that, can you just, for the noobs here, can you just tell them very quickly what the commitment of Traders Report actually is?

absolutely so uh so anybody that trades futures uh is required to re uh reveal to the regulators uh what their positions are and who they are and based on who they are they're classified into multiple categories such as uh commercial hedgers so if i'm exxon mobil and I'm going into the futures market to secure the price for me to have my production sold in the Cushing market or whatever, then I'm a commercial hedger.

If I'm a large speculator, such as a CTA, a trend following fund, or a hedge fund, or a huge institution or ETF like the USO for crude oil, I would be considered a large speculator.

You said you just pulled up that website, like kind of nonchalant, but you actually created this website.

We created this website from scratch.

It's called Cotsignal.com. C-O-T-Signal.com. Cot is the commitment of traders.

And totally free.

Take a look at, think Gator, at this weekly chart of the copper futures, okay? Now, this is important.

This CFTC's Commitment of Traders data is down at the bottom.

That's the COT report, okay? This is a survey that shows you how large speculators, small speculators, and commercial hedgers position a g- a commodity.

Large speculators are professional money managers.

Let's see where it goes and hopefully just puts in a higher low.

Anything on the commitment of traders reports, though, Craig, those COT reports, any updates that you're seeing?

Well, I think this is all part of why, if it seems to you the metals are volatile, and not just on a dollar price standpoint, right? I mean...

When we're talking, you know, $4,500 gold, a 1% move is $45.

i wanted to highlight that we've been now two months ripping on the upside of crude oil and what's what i found fascinating was how the story played out so this is the net positioning of gross longs and gross shorts on large speculators and what was fascinating was that obviously in that june washout uh on the downside there was a huge build of short sellers that basically built a short position that was at a five-year extreme and at the same time they washed out a chunk of the long oil bowls and cleaned them out there.

But what I'm finding fascinating is up until and we'll see on tomorrow or today's cot report it hasn't been out released yet to see for this week's results But when are these shorts going to get squeezed out? Because we're still on large speculators.

This isn't commercial hedgers.

This is large specs that are holding a couple hundred thousand contracts short on WTI.

There were tightened markets in this scenario.

And so, rightfully so, there was a reason to be bullish and everyone positioned that way.

And, you know, even if there is a crowded cot report, like in terms of positioning, So long as they're being rewarded with higher highs, then there is no problem.

But we got a pretty good reversal yesterday based on at least my interpretation.

Diesel prices at record highs, very frustrating.

The CFTC released its weekly commitment of traders report on Friday for the week ending Tuesday, September 1st.

Large money managers were net buyers of 84,000 corn contracts.

The net long position of 401,000 contracts is the second largest on record.

Um, you know, that being said, just kinda looking at where we're at week over week looks like corn's gonna be close to flat, beans up about twenty, twenty-five cents, and, uh, wheat the opposite, down about fifteen to twenty cents on the week.

And we also got the, uh, the Commitment of Traders Report out, and it had some pretty impressive numbers for corn and soybeans.

Talk to me a little bit about those numbers and what those mean for these markets here going forward.

Yeah.