As the year winds down with Thanksgiving approaching, many producers are wondering what this could mean for the grain markets.
Dan Hueber, editor of The Hueber Report, thinks it could be quieter and volume generally tends to drift during the holidays.
“There’s an old adage that if the bears get turkey for Thanksgiving, the bulls get it for Christmas,” he said. “ There’s a reasonable probability we could see a nice short covering rally between now and the end of the year.”
Joe Vaclavik, president of Standard Grain, agrees, echoed Hueber’s comments, but says a short covering rally isn’t guaranteed.
As far as seasonal demand on the meat side, Hueber thinks the hog and cattle market should stabilize. Vackavik thinks there’s “friendly undertones” nearby in the cattle market.
“Numbers are getting bigger year-over-year, but it seems like the export demand has helped markets trend higher,” he said.
Watch Hueber and Vaclavik’s full comments on AgDay above.