The Home Stretch: Do farmers sell now or wait for a big rally?

It is hard to believe that September is less than a month away, quickly bringing the crop year to a close. With harvest not that far out, ag economists say it is time to take action on old crop supplies.

“We have to start thinking about selling the carry at harvest. We’ve got big carries in the corn market, big carries in the wheat market, and even big carries showing up in the soybean market. You know, the carry from November to July, the November contract, good grief, where is it? About $9.9 somewhere there today. 9.9 a bushel from November. It’s $0.60-plus higher out to July. That’ll cover your interest costs easily and throw something else in there,” said Ed Usset, with the University of Minnesota.

Usset looks back to earlier this year, saying February was likely the last rally for America’s staple crops, saying the typical spring or summer rally just never arrived.

Related Stories
National Education Center for Ag Safety Director Dan Neenan joins us to discuss grain bin safety and the steps producers can take to prevent tragedies.
Cotton farmers should weigh potential PLC payments against STAX coverage and act before the September 30 deadline.
Argentina hopes to boost demand, but critics see the move as a blow to American farmers.
U.S. produce growers face a structural disadvantage—cheaper imports driving down prices while rising labor costs squeeze margins. Without new policies or technology, profitability remains uncertain.
China is making strategic moves by purchasing more soybeans from Argentina and may soon follow the EU and reopen its market to Brazilian chicken exports.
Farmers should watch for soybean export rebounds with harvest, while corn and wheat shipments remain strong and sorghum demand struggles.

LATEST STORIES BY THIS AUTHOR:

A massive rail merger could significantly impact North American agriculture and trade flows.
Urea and phosphate see the biggest price relief from tariff exemptions, but nitrogen markets remain tight, and spring demand will still dictate pricing momentum.
Earlier this year, the BLM moved to rescind the Public Lands Rule from the Biden Administration. Interior Secretary Doug Bergum says overturning the rule will protect the American way of life and give rural communities a stronger voice.
Lower turkey and wheat prices helped ease Thanksgiving costs, but underlying farm-sector pressures remain significant.
Hunter Biram, an extension economist with the University of Arkansas, is tracking Mississippi River water levels as grain shippers shift their focus to transportation following the wrap-up of fall harvest.
Agriculture Shows
Hosted by Scott “The Cow Guy” Shellady and RFD News Markets Specialist Tony St. James, Commodity Talk delivers expert insight into the day’s ag commodity markets just before the CME opens. Only on RFD-TV and Rural Radio SiriusXM Channel 147.
A look at the news, weather and commodities headlines that drove agriculture markets in the past week.
Everything profits from prairie. Soil, air, water — and all kinds of life! Learn how you can improve your land with prairie restoration, cover crops and prairie strips, while growing your bottom line.
Special 3-part series tells the story of the Claas family’s legacy, which changed agriculture forever.