There continues to be reports of corn ear tip back. In my opinion social media is exaggerating this problem. There are definitely isolated cases, but it doesn’t seem to be a widespread problem. I suspect the people spreading these “reports” are likely unsold or long and hoping for a market rally.
Some in the market point to record demand, which would theoretically lead to a market rally over time. While this may be true, it will take nearly a year before the market will be impacted. There is still a question surrounding what will be done with the massive wheat supply. Also, China’s economy continues to be a question mark going forward. They have been auctioning off state reserves and they have slowed their import of DDG’s. The DDG issue could create excessive U.S. inventories, displacing corn and meal in domestic feed usage.
Nearly every farmer (me included) was caught off guard when corn spiked then dropped over six weeks this summer.… Continue readingRead More »