The Buzz: Time to Make New Crop Sales
Arlan Suderman and Bryce Knorr take a look at the current state of the marketing.
Compiled by staff
Published: May 20, 2009
While the outlook for corn and soybeans remains bullish, it's probably a good time to be making new crop corn and soybean sales nonetheless, according to the Farm Futures marketing team.
On this week's edition of The Buzz, Senior Editor Bryce Knorr and Market Analyst Arlan Suderman noted the power of this week's soybean rally, which took old and new crop futures to new highs. Corn followed along, thanks to planting delays. With November futures above $10 and December corn topping $4.50, new crop sales are warranted said Suderman, especially for bushels that must be moved off the combine this fall.
Suderman targeted $12.14 basis the July futures contract for old crop soybean sales, well within the seasonal rally range forecast by Knorr. July corn has a shot at $4.50, Knorr said, but getting there likely will take longer.
Wheat prices remain tricky to predict, according to Suderman, due to potential shortages of milling quality wheat. Knorr noted that futures in Chicago and Kansas City could be bucking strong bearish seasonal trends into harvest after hitting key milestones this week.
To watch the entire program, click THE BUZZ.
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Tagged: soybean, wheat, farm, soybeans, farm futures
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