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Area 51 | some of us are tired of seeing COP sheets that CLEARLY show a management issue, but instead of someone admitting there is a management issue they blame it on low prices and ASSUME everyone else is going down with them, all the while complaining about the neighbor that seems to be progressing
I don't like low prices anymore than the next guy. but in ag commodities the markets job is to always take the price below COP for a period of time before demand outstrips supply and prices rebound. IF you COP is too high you are the first to go
IMO
we haven't seen blood in the streets yet, not nearly enough pain. Will we, who knows. Mother Nature could swing this thing pretty quick and admittedly we are a much shorter cycle from peak to trough which might limit the screams
but reality of it is, there are many operations out there that can make sub $4 corn work. There are also operations out there that can go broke with $8 corn, we have seen a few examples already. IMO sub $8 beans will hurt more people than sub $4 corn
Edited by bowtie 11/6/2015 09:02
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cost to grow corn
