Nice little end o week rally

[BA Deere]

Corn up 13¢  Beans up 5¢.   The funny thing is basis was narrower 20¢ on corn 55¢ on beans when it had been 40 and 80 respectively ...so much for "locking in the basis" at harvest, right?  Cooler heads are prevailing on the tea leaves of the trade deals.   I mean sure China could play games, but lose all credibility in the process which would do them no good.

The sell off the last couple days was funds puking, probably more to due with the last recent report than anything.   I`m not saying "straight up from here!", but the market got their bell rung and now had a whiff of the smelling salts and their eyelids opened. 

We just have to remember we don`t have license to price ourselves out of the market either, also since we`re the ones running the trade deficit, we do deserve most favored nation status. 

Naysayers will no doubt point out that after the inked phase one that beans didn`t go straight up and take out the 2013 highs that it`s somehow a failure.  I can`t fix Bad News Bears Syndrome or TDS, but make decisions that are profitable for your farm and that`s all you can do.

[rsbs]

if you go around the country and rap on the bins of the endusers like the ethanol producers, and if they would let you look at the corn purchases they have on the books, I bet both are on the hollow side.

Someone is going to be selling corn for $4.50, $4.75, maybe $5.00 and why not have it be you, right?  if the South American countries are growing 6 billion bushels of corn now, up from a billion not long ago, we probably cannot expect a blow the top off rally anymore as a replacement crop is only a few months away anytime now.

What's happening in South America with their soybeans? still dry there or did they get their rain?  I want to get some $9.50 cash beans on the books soon...was $9.35 a few days ago....if they will pay that, why not $9.50 , right?

I know $4 corn and $10 beans with less than stellar yields are not going to make me into a Rockefellar.

[wrightcattle]

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@BA Deere wrote:

Corn up 13¢  Beans up 5¢.   The funny thing is basis was narrower 20¢ on corn 55¢ on beans when it had been 40 and 80 respectively ...so much for "locking in the basis" at harvest, right?  Cooler heads are prevailing on the tea leaves of the trade deals.   I mean sure China could play games, but lose all credibility in the process which would do them no good.

The sell off the last couple days was funds puking, probably more to due with the last recent report than anything.   I`m not saying "straight up from here!", but the market got their bell rung and now had a whiff of the smelling salts and their eyelids opened. 

We just have to remember we don`t have license to price ourselves out of the market either, also since we`re the ones running the trade deficit, we do deserve most favored nation status. 

Naysayers will no doubt point out that after the inked phase one that beans didn`t go straight up and take out the 2013 highs that it`s somehow a failure.  I can`t fix Bad News Bears Syndrome or TDS, but make decisions that are profitable for your farm and that`s all you can do.

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Trump will have any good market's out. 

He'll jack some tariffs back on to keep USA farmers on govt dole. 

You can trust the Chinese. 

You can never trust trump. Its obvious and proven.. Over and over and over. 

[BA Deere]

Mark Wright wrote :  "You can trust the Chinese. "   

You sure about that, buddy?

[BA Deere]

There`s talk of possibly a record Brazilian bean crop.   I would not doubt that when all this comes out in the wash, the so-called China trade war had much less effect on bean prices than touted.   It`s just there a hell of a lot of beans out there in the global sit rep, the ASF cut China`s beanmeal demand in half.   But the spin against the "orange man" has been unrelenting.  

If China does keep their word and we compete with Brazil on a level table, we will have better prices....not post-2012 drought prices, but prices if you study your lesson you`ll do alright.