Reopening of the Strait of Hormuz is Bearish Long Team Diesel/Fertilizer!

[AgrivilleAdmin]

The Iran/U.S. peace deal and the reopening of the Strait of Hormuz is bearish farm diesel prices and fertilizer.

A peak in crude oil = a peak in soy oil futures + a peak in canola futures short-term.

The SpaceX IPO increased Elon Musk’s net worth by $300 billion in 1 day more than what Warren Buffet made in his entire lifetime! WOW!

The NEW Fed chairman Kevin Warsch was too hawkish and hates providing guidance and visibility on interest rates. U.S. $ Index breaks above $100.

Cattle on Feed BULLISH!

S&P Global shock- the U.S. could lose 30 million corn acres by 2050. They say we need E15 mandated now!

China has started buying U.S. soybeans, but we need more volume.

[MoeAgostino]

Have you booked 2027 diesel fuel and fertilizer needs or are you waiting for lower price's?

[TechAnalyst]

How about the opposite?

Markets have been trading the Trump TACO (Trump always chickens out) trade for over a month now. But Israel and surrounding Gulf countries are not bound by the TACO trade, as is perfectly clear already.

Israel does not agree with the first term of the deal and has continued to attack Lebanon, almost as if they are demonstrating who is in charge.

In response, Iran has already called off the beginning of negotiations on the final agreement with their military (the IRGC) already issuing official notice that the Strait is closed again due to the violation of the agreement.

With the U.S. strategic petroleum reserve hitting 43 year lows this week and commercial stocks nearing critical levels, there is no cushion (or time) remaining for the Strait to remain closed.

Which is exactly how ship owners and insurers are still treating it regardless of what politicians say.

[agstar77]

Things may superficially rosy, but the stock market is being led by the Nvidias and Amazon's. Other small caps are trending lower. Oil will rise as the true cost will kick in. U.S. oil production is declining and without higher prices there will not be new drilling.

[errolanderson]

Iran has control of the Strait and the MoU peace agreement appears in-jeopardy . . . . Recovery in oil prices and canola next week?

[biglentil]

Turning the oil back on is not like flipping on a light switch. Shortages will become the next big buzzword heading into July.

[Taiga]

The MOU is just an agreement that both sides will …continue negotiations.
Current diesel pullback is likely a good time to fill the tanks.