This week a bean trader told me, “it’s not a matter of if beans hit $10 but when.” With a little 2019 futures position left to sell, and all of my 2020 bean crop unsold, this was music to my ears. However, it brings back memories from 14 months ago, when the potential for $5 corn seemed like only a matter of time.
How realistic are $10 beans?
There are so many factors affecting prices, that it’s impossible to accurately predict when the high will occur. Instead, I prefer to make a list of why prices could go either direction, and then evaluate the likelihood of each scenario happening. This helps me when making grain marketing decisions for my farm.
Reasons to be bullish are:
The Fed said keeping the economy running and bringing unemployment levels down were a higher priority than keeping inflation in check right now. … Continue readingRead More »