feedyard talk 12/17. 3 pm .......Market conditions as of the week before Christmas
The 4 legged corn consumers out sw are still buying....... It came up in a management discussion.
A Grain buyer told us this last week that their Yards were approaching all they need for Jan, Feb & Mar. Basis had dropped from +90 unless you would like to commit to April or May---- now if you think that means what it says but finally the guy asks "what are you thinking about." -----somehow we sold another 30 loads in January..... same price
The message I got from that was they feel basis is high enough and hope it stays at +90 into April, May & June.
Maybe the market can start doing the heavy lifting in corn. For once the planting decisions are going to have some real meaning.
It is possible that the stagnation in soybeans is because of the fertilizer crunch going on. The bean market may be anticipating serious planting increases whether Brazil can rebound or not. If that proves out, the corn market might do some more lifting.
Next two weeks have holidays imbedded. Cotton is in demand. All commodities are searching for relevance in the inflation pool. Topping that off is the fertilizer virus going around. Several young ones I visit with don't feel like they can take that bait this early and with that thought I asked the question. Pricing any 2022 corn? Answer most often is NO. Locally they can get a $5.66 new crop elevator bid compared to the $6.43 old crop corn bid. The fertilizer puzzle has got most of us wondering where prices need to be next season. And most of them have wheat acres that may need a crop come spring. The tight supplies have no signs of becoming abundance...... wheat knows sitting at $8+ that the first 2022 crop has a difficult future.
Enjoy the promise of every new day and travel safe.
Christ be with you this special time of year.
Re: feedyard talk 12/17. 3 pm .......Market conditions as of the week before Christmas
Ted Siefert was sitting in for Chip on yesterday`s show, Handsome Newsman Davis Michealson said a "dad joke" about when traders turn from Jan corn to March, does Jan corn say "Marcha Marcha Marcha it`s all about Marcha!" ? It just cracked me up 🙂