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Senior Advisor

Re: Floor Talk April 3

With the way these have gone as of late -- why buy it -- that be corn - ?  Our basis just keeps going down , from 32 cents a few weeks ago to + 12 -- they may just have there needs covered - or they may be importing more corn up the mississippi . They did  this last fall , They called and said they needed all my corn - have a train comeing in , BUT there is not one truck on the lot . And there is a 91 cent difference between July and Sept .

 

 

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Senior Contributor

Re: Floor Talk April 3/vandenplas

No, not 1%, more like 5.5% to 6%. LOL With the drought reduced 2012 yield I only got around 185bu for the total 2012 yield. Guess we consider anything less than 10% of production as Gambling Stocks. Only had around 1,200 acres of corn in 2012, but some of that was corn on corn. I do around 75% corn and 25% beans most years including a number of corn on corn acres. Corn on corn has slightly higher costs and a slightly lower yield, but the corn on corn acres have actually been doing ok for us in Northern Iowa, better than most of us thought they would.Yea, 30 cents isn't a big deal on only 12,000bu, but I try very hard to market all my corn in the top 20% or even top 15% of the yearly price range. Right now at around $7.60 or so total 2012 corn average selling price. If I had known more I would have sold everything in the $8.10+ price range back before harvest last year. Oh well, but I usually keep around 5% of my old crop corn till this time period just in case the markets take off big-time. Obviously that was a bad thing this year, but you never know for sure.

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Senior Contributor

Re: Floor Talk April 3

highyields- thanks for the opinion, I too think we will still have a pretty good chance at $7 cash corn by June/2013. Seems almost every year Chicago tries to kill the crop off, meanibg a small weather-related rally. And if it continues to stay so dry in Northern Iowa and the rest of the cornbelt, watch out. I don't think Chicago realizes that we really need more rain than average this year to get the subsoil dirt back to normal. Last year we into the crop year with good subsoil moisture and that is why I could get 185bu average all farm per acre yield. This year, all that moisture is gone so no reserve in the gas tank to help.

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Senior Contributor

Re: Floor Talk April 3

vandenplas- they have increased there basis level by over 25 cents for June cash corn in just a day or so, that says they are aggressivily trying to find corn. Now this is just 1 local ethanol plant, we have 3 more in Northern Iowa I need to check out. Could be this plant put off buying corn till after the report and are now planning to buy alot more at the reduced price. They were up to $7.70 last week before the report and now they are at $6.87, a big difference, darn near a $1 lower which really increases there profit margin considering they get 2.9 gallons of ethanol per bushel now.

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Veteran Advisor

Re: Floor Talk April 3

Mike,

 

where'd you go?

 

has anyone heard the (mis)informa est?

 

thx

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Senior Advisor

Re: Floor Talk April 3

You all just keep feeding him.
Senior Advisor

Re: Floor Talk April 3

Shaggy -- I didn't -- I didn't --- LMAO

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