This week’s action:
Corn July down 2 @ 7.76
Corn Dec down 1 @ 7.31
Beans July up 25 @ 17.31
Beans Nov up 18 @ 15.41
KC Wheat Sep down 16 @ 12.42
Feeders Aug up 1.85 @ 165.80
Fats June up .70 @ 132.125
June Hogs up 1.35 @ 110.175
Old crop corn basis has been extremely firm for quick ship bushels the past week or so as people are still finishing field work. A lot of old crop soybean bids have rolled to the August. This has dropped the basis value 30-40 cents vs July bids last week.
Dec corn Feb 1 – today: $6.76
Dec corn since Russian invasion: $6.96
Nov beans April 1 – today: $14.96
Sep KC wheat since Russian invasion: $11.26
**We are about 80% through a typical corn seasonal sales time frame with about 30 days remaining.
Planting progress released Monday had corn at 72% compared to 89% this time last year and the five-year average of 79%. Soybeans were reported to be 50% planted compared to 73% last year and the five-year average of 55%. The real focus is on spring wheat (North Dakota/Minnesota specifically) reporting 39% planted vs 97% last year and the five-year average of 88%. This is currently the slowest spring wheat planting on record.
The market is becoming comfortable discounting Ukrainian disruptions and is now turning it’s focus to US weather. Reports are Ukrainian farmers are making better progress than originally anticipated getting their crops planted. With recent rains, expect crop ratings to be favorable in 2-3 weeks. There is currently no forecasted prolonged weather adversity over the next 90 days. Managed fund length in major ag commodities is down 18% from mid-May and down a whopping 31% from early February.
Not freindly in the Northern Plains where they are desparately behind in spring planting, but very promising for the most of the corn belt to finish planting by next week.
The housing market is beginning to reflect home buyer’s 60-90 day pre-approved lower interest rates expiring and home sales are slowing. Pending sales in April were the lowest level in nearly a decade. Gas prices hit a record high this week with a national average of $4.69 per gallon. The high in June 2008 was $4.27. Last year gas was $3.11 and two years ago it was $1.97. Economic indicators project negative GDP growth in Q1. If we are negative GDP in Q2, we will officially be in a recession.
Otherwise, life is good!
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Testimonials are representative of all reasonably comparable accounts and are not indicative of future performance or success.
Matthew is a corn and soybean farmer from Aurora, Nebraska. Check out his video to learn more about his relationship with Tredas!
Nate started out with just a few acres of ground and has worked to build his farm for decades. For him, the growth was easy, but the marketing? Not so much. Nate loves the options his Tredas Consultant, Zane Abner provides.
Gary farms corn and soybeans when he’s not feeding cattle near Bertrand, NE. He goes into detail about what sets Tredas apart from other companies.
Rob has a long history of working with corn, soybeans & cattle. He loves the hands-off approach of partnering with Tredas and how the Team keeps him motivated to keep making sales.