What were the biggest surprises from this week’s Crop Production and WASDE reports?
The biggest surprise was in the yield reductions. It is hard to understand how USDA can reduce yields when cop conditions rates are increasing or at worst holding steady.
For the farmers who haven’t sold their 2013 corn or soybeans, when do you believe will be the best pricing opportunity?
If we can stage a decent recovery off of this report, now might be a good time to sell something if you have not priced any 2013 crop. But for soybeans we might be better off holding bean to January and holding corn to spring.
What are your predictions for corn and soybean yields?
Barring any early frost: Corn yield 163 bu./acre, soybeans 44 bu./acre
How much of the 2013 crops will go into storage this year? What marketing advice would you give farmers who are planning to store?
At this point I think 45 to 60% of unpriced grain will go into storage. If you are storing grain, either protect it with puts or sell the carry.
What 2014 marketing plans are you encouraging farmers to make?
We have been aggressive pricing 2014 crop, sell on any recovery, if issues arise, cover with calls