It’s been just over two weeks since I started as the Grain Department Manager at CHS Larsen Co-op. We have accomplished many things during this period. I have been able to visit all of our grain facilities and nearly all of our employees. Wheat harvest is all but over, and we were blessed with decent yields and good quality. The Readfield area received nice rains over the last three days, and this was the perfect answer to the crops planted on sandy soils. These rains will put additional corn and bean bushels in the bin and even though the crops are later than normal, these rains should make final yields quite desirable.
In the last few weeks, we have greatly expanded our grain contract offerings to help you manage price risk on your farm. Today, we have many more options available to you than just the choice of selling your grain across the scale or storing it at the elevator. Whether you are a novice or an experienced trader, we have a marketing solution that will meet your needs. Please visit our website for a complete listing of what grain contract alternatives we now offer. As always, I would be glad to sit down with you and help you decide what solution might work best for your unique situation. I am available anytime to help you market your grain. We will also be hosting another round of our Marketing 101 Workshops on August 15, click for more details.
We are definitely in a weather market today. These types of markets quickly shoot up when it is hot and dry and then crash when cooler temps and more rain are forecasted. This is exactly what happened this week. Cooler temps and more rain were forecasted for the majority of the Corn Belt for the later part of this week, and traders sold off their positions in a huge way. The big surprise was the bean market which will benefit the most from these August rains as beans are made in August. The bean market was just hammered on Wednesday and Thursday, as the market closed over 55 cents lower during this two day period. If we get a 5-10 cent bounce in corn or a 10-20 cent bounce in beans in the coming days, I would seriously consider selling any remaining bushels that you must move for harvest. This might be the last opportunity to lock in better prices for fall delivery.
If I can help you in any way, please let me know.
by Marcus Cordonnier, Grain Department Manager