Raelynn's Comments 12/17/20 4:33:52 PM
December 17, 2020
Merry Christmas and Happy Holidays! All of us at Kat’s Grain are thankful for you all. Even though everything has been a little more difficult this year, it’s made us appreciate the relationships we’ve built with our customers even more. And we hope to continue working with you in 2021!
There’s been a lot of attention put on the nearby bean market, and rightfully so. It’s been an exciting rally that seemed to change on a dime in August. But I think it’s worth looking a little farther ahead to fall 2021 as well. Right now, you can get $10.65 delivered to the river for October and $10.75 in November. I think it’s time to consider making a small cash sale, if you haven’t already, for any bushels that will need to move out of the field. We know this bean market is going to stay interesting for a while, and I believe that the nearby bean price will continue to move higher. But, that is the nearby market. My concern is that the higher the nearby price goes, the larger the potential increase in nearby acres. If they start talking some big acre numbers in February or March, that may put some pressure on the fall price. And February is just around the corner. We quickly move on from the old crop to the new as soon as we start talking acres. If you can lock in $10.50+ for your out of the field needs, that isn’t a bad place to start. From what many analysts have projected, they believe that next year’s crop will continue with a short supply. But as we all know, things can change quickly. Why not start by locking in a profit at these levels in case we do see a switch in the market. You can keep selling if we continue to climb higher, but consider this a move to limit risk.
Best wishes to you and your families during the holidays! Give John, Katy, or I a call for any marketing needs! We’re happy to help!
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All bids on our bid sheet are delivered bids. No truck deducted. Bids are subject to change at anytime. Comments written on this website are the opinions of Katy Greiner, John Greiner, or Raelynn Dean. All ads on this web-site are paid ads and have no connection to Kat's Grain. You can reach us at 319-653-3520 or email firstname.lastname@example.org, email@example.com, or firstname.lastname@example.org.