Ivan’s Weekly Market Update: Corn harvest keeps swaying in our favor. The southern yields are outstanding. Yields are a little less as harvest moves north, but are still better than expected in northern states. Carryover is expected to be in the 1.8 billion bu. range. I anticipate a carryover close to 2.0 billion bu. which would provide a real boost to the feed industry. We are currently trading December corn $0.13/bu higher than the August low. I do feel we will push through the August low as harvest progresses. Soybeans have continued to fall apart this week with Nov. beans trading below resistance this morning at 13.31 to 13.33. If we can continue to hold below, I feel we can easily go back and test the 12.75 area. Soybeans are extremely tight and will be for a while. Frost is still a scare but the weather forecast is looking good. If we can make it another couple weeks without a major frost, we should be in great shape as both corn and bean crops in the north continue to mature. The bean market will be banking on the South American crop, which should take shape around the first of the year. Commodities have been strong for the past week due to short run times at processors. By-products should become more available as harvest continues to move north and raw ingredients reach processors. CPC is staying extremely tight on product at our mill. We intend to keep inventory tight as we anticipate lower prices hitting the market as harvest starts. I feel there will be ample supply of product in the coming weeks. We are realizing a price structure that is desirable for livestock producers – one that puts money back in producer’s pockets! Remember, things move fast so you should consider securing some of your feed needs now, if you haven’t already. When this market turns up, it has the ability to move fast. Be prepared!
Posted on: Fri, 20 Sep 2013 19:48:11 +0000
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