Agriculture NewsCurrent futures prices for corn and soybeans are bad enough, but the picture is much worse looking at local cash bids. What’s causing the wide basis levels? Joe Camp, AgriVisor risk management specialist, and Mike Doherty, Illinois Farm Bureau senior economist and policy analyst, explain in this Q&A. (FarmWeekNow.com)
Tag Archives: commodity prices
BASICS OF BASIS
Posted in Agriculture News
Also tagged Basis, Corn, futures, Marketing, risk management, soybeans
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BIG #CROPS HANG OVER MARKETS
Large crops produced in the U.S. this year could keep a lid on prices heading into 2018, but the additional bushels offer an opportunity to capture carry in the market, which could improve margins at elevators. The futures carry recently moved wider, incentivizing many elevators to gain ownership of corn and wheat, but farmers generally… read more
COVERING THE BASIS: LOCAL CROP PRICES REMAIN WEAK
Many farmers will store this year’s harvest wherever they can find room and wait for better prices as basis levels at many locations around the state continue to offer little incentive to sell crops off the combine. Aaron Curtis, commodity risk consultant for Mid-Co Commodities, said high rates and better-than-expected yields have contributed to the… read more
USDA BREATHES LIFE INTO CROP MARKETS
Farmers hope the harvest lows are behind them as a rally in the soybean market lent a little support to corn prices. USDA surprised traders Thursday by trimming its national soybean yield estimate by 0.4 of a bushel to 49.5 bushels per acre. Dale Durchholz, AgriVisor senior market analyst, said the revision could add support… read more
ACREAGE REPORT, WEATHER SPUR MARKET RALLY
The crop markets finished June on a high note due to a combination of USDA estimates and weather concerns. USDA, in its much-anticipated June 30 acreage report, pegged U.S. soybean plantings at a record 89.5 million acres and corn plantings at 90.9 million acres. Analysts believe prices could continue to rally if the weather turns… read more
Posted in Agriculture News
Also tagged acreage report, Corn, markets, soybeans, weather
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U.S. EXPORTS TO #MEXICO FALL
Tensions about #NAFTA are starting to cut into sales for farmers while they continue to struggle with low commodity prices and excess global supply. Over the first four months of 2017, Mexican imports of U.S. soybean meal dropped 15% – the first decrease for the period in four years, according to the USDA. Shipments for… read more
Posted in Agriculture News
Also tagged chickens, Farmers, Mexico, NAFTA, soybeans, trade, world markets
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WILL #CORN PRICES REMAIN RANGE-BOUND?
#Farmers are ready to pounce if and when the corn cash price ever gets to $4-plus. But will they get that opportunity? The market in western Illinois the middle of last week traded at $3.45 per bushel cash, $3.65 for November and $3.77 for March 208. “Corn has been in a pretty tight trading range… read more
FARMLAND PRICES STEADY DESPITE FALLING CROP PRICES
A plunge in farmland values resembling the 1980s decline “remains unlikely,” with a shortage of acreage for sale helping to support prices, a Federal Reserve economist said Monday. Despite the drop in prices for corn, soybeans and wheat, land values haven’t fallen as much because of low interest rates, limited supply and generally favorable balance… read more
OIL IMPACT
As many as a third of American oil-and-gas producers could tip toward bankruptcy and restructuring by mid-2017, according to Wolfe Research. Observers say crude oil may dip into the $20/barrel range soon.
WHEAT LAWSUIT GETS GO AHEAD
Few companies need wheat as much as Kraft Foods, which uses it to make snacks, including Oreos, Ritz crackers, Wheat Thins and Chips Ahoy! But the food giant hasn’t always paid what it should for the cereal grain, according to federal regulators who say executives at the firm cooked up a scheme to manipulate the… read more
