Hints of Hope in Holiday Markets?

December 5, 2015 05:00 AM
 
Hints of Hope in Holiday Markets?

When Jerry Gulke looks at the December markets, he sees plenty of unpredictability—and signs of hope.

“I think we’ve got lots of volatility ahead of us until the January stocks report,” said Gulke, speaking on Farm Journal Radio’s Weekend Market Report. But he also sees some bright spots amidst the ups and downs of the holiday markets, like recent weekly key reversals in corn and soybeans that resulted in important gains.

“If (you) go by strictly by fundamentals, you need to learn the technicals too,” said Gulke, president of the Gulke Group in Chicago. “Technically, things are looking better.”

He looks at other factors in the market too, including those who are looking at short-term and long-term trends and not just reacting to the latest headlines. “The smart money puts their money where their thinking is, and you see that on the high, low, and last (prices) on corn, soybeans, and wheat on a daily, weekly and monthly basis,” Gulke said. “That’s what you really need to watch. Not so much what they’re saying on TV, but what they’re doing.”

And what is the Gulke Group doing? “We bought back all our hedges recently,” Gulke said. “We are basically unhedged on old-crop ’15 and new crop 2016.”

Listen to Gulke’s full comments on the dollar, Argentina, the livestock market, Stats Canada’s latest crop production numbers and more. 

Back to news


Comments

 
Spell Check

JDACRES
Alexandria, MN
12/7/2015 08:37 PM
 

  I see where some of this land is bought and leased back to sellers.... Hmmmm If we all leave 5% lay idle, we would get our $5.50-6.00/ bu corn.... We don't need government to do it.... Just do it.... :) I don't drink, soooo I am in trouble... ;)

 
 
Steve Sylvester
Luck, WI
12/5/2015 08:14 AM
 

  I think that listening to all of the analysts and their changing stories most of them are changing by the hour because at best all they are doing is what the weather man does...Guess...leads to farmers doing massive drinking and total black-outs! your comments do more harm than good on helping us feel our way through these horrible markets. the bottom line is simple...our dollar is grossly over valued and we are at a disadvantage on exporting and we cannot afford many more years of this before many young farmers will be forced out of business...That is the problem folks, our future farmers need better than break even prices to survive..Merry Christmas.

 
 
keith
nisswa, MN
12/5/2015 11:49 AM
 

  Steve, if you scroll down on the AgWeb weekly you will see a recent sale of farmland in Iowa.This looks like a huge disconnect between current grain prices and assets used to produce these.It may be that I am not bright enough to understand the lack of correlation.Maybe a double eggnog would help. Merry Christmas!

 
 
Close