Grain Comments

July proved to be a very wild month - another in a string of wild months.  USDA's grain stocks and planted acreage report on June 30th gave the market a surprise - especially the corn acreage number.  We were able to get a good deal of target price orders done on both corn and beans thanks to that report.  Many of you were able to get some more new crop corn sold between $3.40 and $3.50, and new beans in that $9.00 area.  We certainly have faded off those highs set earlier in the month of July due mostly to the almost ideal growing conditions throughout the majority of the corn belt.  Of course we still have some very critical time to get through to make a corn and bean crop but overall things are looking fine for this time of the year.  Harvest certainly should be earlier this year than last year given the much warmer summer weather this year as compared to last.  Wheat has rallied substantially due to very poor growing conditions in parts of Europe and Russia.  They have seen a historically hot and dry summer which has hurt their wheat crop potential.  Worldwide we still have plenty of wheat so based on supply and demand the rally we have seen is somewhat overdone, but we should be getting used to the markets overdoing things.  Remember $8 corn and $16 beans.


By Doug Biswell - doug@manhattan.coop  
Phone No.: (785) 776-9467     Cell No.: (785)313-5344