I can't figure out why there is so much pressure on KC March/May right now. The KC future is strong on an intermarket basis relative to MGEX and CBOT, but is the least "wanted" on the calendar spreads. While it is entirely reasonable to figure that March KC will go into delivery at 100% of full carry, it isn't at all clear why it should get to that level now--or before MGEX and CBOT.
Re-weighting of the GSCI is keeping the pressure on CBOT Wheat and Corn ahead of the big USDA report this week. I don't know if I will keep the Ethanol and Oats trades on through the USDA report. But at least for another day.
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