Winter Blast; Grain Bulls Run Out Of Gas

  • 01

    Last week, temperatures were mild and combines were rolling, putting corn and soybean harvest on pace and near its end. Then, Mother Nature changed her mind and decided to bring on winter weeks before the calendar says it's time. See what else is big in agriculture this week.

  • 02

    An early-week winter blast brought subzero temperatures to the Plains and Corn Belt, endangering the wheat crop in the former area and making the remaining corn and soybean harvest a tough go in the latter. While the weather's shifted sharply in the U.S. this week, the market's starting to focus more on conditions in South America.

  • 03

    As of early this week, only 6% of the nation's soybean crop and 11% of the corn crop remained in the field. The trade sees this as basically done, though there are still fields out there that now, because of the weather, may have to wait for a few more days or so before farmers can wrap up.

  • 04

    Earlier this week, after the U.S. House of Representatives had signed off on the Keystone XL pipeline that would have carried Canadian crude oil to the Gulf Coast in the U.S., the Senate fell 1 vote short on Tuesday. And, though it directly affects a different market altogether, there are ag implications.

  • 05

    Another thing that's been big this week, as grain prices have slumped, is the ethanol market. Ethanol's gained about half its current value in the last 6 weeks or so, and now that the corn market's starting to slump, some speculate it could widen cash corn basis levels at ethanol plants. Could you cash in?

  • 06

    Those falling corn prices continue to put a premium on ways to cut back on crop inputs and other costs associated with operating your farm. But, just don't do so with your soil testing budget. Find out why here.

  • 07

    One surprising trend with the recent farmgate grain price downturn uncovered this week is regarding farm family living expenses; over the last decade, when incomes are high, these expenses are low, and vice versa. Farms best managing these expenses will be best-off through the current downturn in grain prices, experts say.

  • 08

    The Federal Reserve Bank of Kansas City a few days ago released its latest survey of ag credit conditions, and it confirms what's long been foreshadowed as grain prices have faltered: Farmers are generally having more trouble making ends meet, operating cost-wise, and that's pushing up loan volume in the nation's center.

  • 09

    Farmland's likely to only fall by 5% in value in the Corn Belt in the next year, one expert says. But, grain prices will likely slip by much more than that. So, which market's the dog and which market's the tail? See some of the variables in play and weigh in with your thoughts.

  • 10

    With the latest weather trend turning warmer but wetter, more harvest delays appear in the cards. This could translate to a lot of grain left in the field through winter. But, this could also be the case because of storage issues just as much as it could be because of downright bad weather. What's more likely in your area? Join the chat here!

  • 11

    What are the chances of factors other than strong ethanol prices creating better cash grain basis levels in the next week or 2?  "At least for now as trade perceives plenty of old crop corn available to bridge the gap between old and new supply early next fall," one Marketing Talk member said this week.

  • 12

    But, will corn stay "cheap" forever? There's a lot of downward pressure now -- especially in Brazil where farmers expect a larger crop than earlier thought -- but it will have to sell eventually. "Somebody will love to buy cheap corn, at some point in January and February," one Marketing Talk member said this week. When will that happen?

  • 13

    It's almost like an old George Jones song. "Diary of a Poor Marketer" is one farmer's chronicle of some of his recent marketing steps and missteps and the thought processes behind them. Can you relate to his "sob story?"

The weather changed drastically this week while the grain markets struggled to stay out of the red.

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Will you have enough on-farm storage for harvest?

I just want to see the responses
46% (22 votes)
35% (17 votes)
No, it’s going to be a bin-buster
8% (4 votes)
Maybe, depending on yields
6% (3 votes)
No, I am looking at new bins or temporary storage
4% (2 votes)
Total votes: 48
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