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corn market and my reaction...
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zmracing
Posted 2/25/2016 20:15 (#5137641 - in reply to #5136671)
Subject: RE: corn market and my reaction...


west central MN

I don't know why you think anytime someone doesn't think the market is going higher they figure we will have corn below $3.00. I certainly don't think corn is going under $3.00. What I was trying to point out is that new crop is typically priced higher then cash. Right now Dec. 16 is only 25 cents higher then the cash month. Last year it was between 40 and 50 cents higher most of the time. I typically don't price much in Feb. but if I was going to it would sure make more sense to sell NC at a 25 cents premium to cash. It has been that way for  quit a few years now. If you can sell NC for 30 cents over cash and then roll it to pick up another 30 or 40 cents carry that can make a big difference. The last 2 and half years the price has been pretty much flat and by selling NC instead of cash a guy has been probable averaging 60 to 80 cents more then just putting it in the bin and selling it when you want the cash.

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