It’s about that time of year for me to start talking about fall and football again, right? As I watched the Nebraska football game on Saturday, I just couldn’t relate it to the current grain markets. Don’t worry; I’m sure I will bring out some football analogies in the future.
As harvest quickly approaches, we want to make sure everyone is not only ready to hit the field but also have their grain contracts ready to go. It’s time to make the decision on what will head to town at harvest and what we have room for to store on the farm. Do we have cash contracts that our grain will be applied to at harvest? Do we have HTAs that we will need to deliver against, and basis hasn’t been set yet? If we have our harvest delivery needs taken care of, can we put in orders to roll our HTAs past December futures and pick up some carry in the market? These are all important questions to answer now, before our minds get focused on getting in the field and harvesting another important crop.
For those who may need to take extra grain to town this harvest and still like to “stay in the market,” our Extended Price contract will once again be available for both corn and beans. You would be able to take a cash advancement once the grain is delivered and placed on the contract. Check in with your ProEdge Grain Specialist or Risk Management Consultant for more information or specifics about the contract. Also, take the time now to manage your contracts, so you don’t have to worry about them while you are in the field!!
The grain markets have been recognizing that the crop looks pretty good across the board. Sure, there are definitely some spots that don’t look great and some spots that look exceptional. It all depends on where you look or who you ask. We have a very wide range of estimates popping up for both the corn crop and bean crop. It’s just a matter of time before we can put actual numbers up against these early estimates and see where the final yield actually falls into place.
Monday, September 12th the USDA will update their September crop estimates. The USDA is currently estimating the US corn yield at 175.1 and the soybean yield at 48.9. The question remains whether or not they will increase these yield estimates next week. FC Stone originally estimated the US corn crop at 175 bu/acre in August and increased it to 175.6 last week. They also took similar steps with the soybean estimates from 48.8 bu/acre to 50.1 this past week. Informa estimates are currently sitting at 174.8 bu/acre on corn and 49.5 bu/acre on beans; both estimates are much higher than in early August. Only time will tell on the final results of this year’s crop.
If you haven’t already, don’t forget to check out the updated harvest policies. CVA HARVEST POLICIES