cancel
Showing results for 
Search instead for 
Did you mean: 
BA Deere
Honored Advisor

Pfitzy throws cold water on rally

He thinks it`ll go higher, but rallying corn won`t help the ethanol and export situation and the 1.9 billion bushel carryover isn`t exactly "pipeline".  The rally in beans comes right during S.A. planting and they`ve been selling the crap out of rallies.   I don`t mean to be a skunk at the garden party, but he does have some points about if you see a good price lock it in especially basis. 

https://www.youtube.com/watch?v=KXu4KSnoa8I  

 

See, those in the "We`d have 12 buck beans if it wasn`t for that Trump!" camp,  I don`t know if that`s accurate.  We aren`t producing in a vacuum and whatever the supplies are it isn`t exactly difficult to buy in the world at a reasonable price.

5 Replies
Hobbyfarmer
Honored Advisor

Re: Pfitzy throws cold water on rally

For him it's extremly bullish.

Usually he says the sky is falling sell quick. 

0 Kudos
BA Deere
Honored Advisor

Re: Pfitzy throws cold water on rally

0 Kudos
roarintiger1
Honored Advisor

Re: Pfitzy throws cold water on rally

Ok, so he throws a bucket of water on a raging forest fire.......

0 Kudos
BA Deere
Honored Advisor

Re: Pfitzy throws cold water on rally

Maybe if prices go up there`ll be more demand? I`m not being silly, it`s like you can`t give away free kittens, but charge $10 a piece and you`ll get rid of them all.   If China buys ethanol, that checks that box, E-plants will be running at full cap.  When grain importing countries see US harvest difficulties and supply uncertainty perhaps they`ll be motivated to buy before price increases?  It might go higher than Pfitzy thinks, I hope so.

rsbs
Advisor

Re: Pfitzy throws cold water on rally

one of the southern MN ethanol plants was buying corn for $4.20 per bushel for immediate delivery last week....not $5 obviously, but sure looking like corn could go back up to the $5 mark in the next 12 months depending on how much corn actually is harvested, and how much is shipped out of the USA.

Maybe some of that sold corn back in the summer rally for $4.50 will live to regret those sales? Lots of empty storage now in the USA and the end users had a nice gift of a market retreat...if they were waiting for it to go under $3 to buy, can you really feel sorry for any of them?