Contrary to last week, corn, soybean and wheat prices all found their footings and closed higher. September corn prices were up 19.25¢, and December corn prices were up 16.75¢, for the week ending Aug. 27. September soybean prices were up 65.50¢, and November soybean prices were up 32.5¢. December wheat prices were up 4.25¢.
“If you look at a chart, we’re going sideways really in all these grains,” says Jerry Gulke, president of the Gulke Group. “Markets are kind of like magnets. When it goes to high it snaps back and then if it goes to low it will snap back.”
This week some key growing areas received some much-needed rain, Gulke says. Some areas received 2” to 3” in the last few days.
“The general response I’m getting in corn is that it is what it is at this point—rain won’t add more rows,” he says. “But in soybeans, the rain does help fill flat pods. The question now is if the rains can make bigger beans. With all the adversity we’ve had, we’ve had a lot of just-in-time rains.”
As prices rise and fall this year, Gulke encourages farmers to keep everything in perspective. Prices are still much higher than recent years, so you can’t really make a big mistake selling.”
“You can multiply 200 bu. times $5 corn out of the field and $13 beans time 50 bu. or 60 bu. and the numbers will work out this year—that’s pretty rare,” he says. “It will be a good year. We’ve got to keep things in perspective, and it has been difficult to do that for a lot of people.”
How to Find More Insights
To help you navigate the volatile markets, Jerry is offering a special three-month opportunity for his Gulke Group cash and hedging advice. For more information call 707-365-0601 or email Jerry at Jerry@gulkegroup.com
Check the latest market prices in AgWeb’s Commodity Markets Center.
Jerry Gulke farms in Illinois and North Dakota. He is president of Gulke Group. Disclaimer: There is substantial risk of loss in trading futures or options, and each investor and trader must consider whether this is a suitable investment. There is no guarantee the advice we give will result in profitable trades. Past performance is not indicative of future results.
