East Central South Dakota | I think we stay irrational longer than fundamentals dictate, but makes it worth fighting today to get in on the bump higher. Visited with a friend of mine north of Highmore out where we got a lot of grass conversion to crop. They are appraising corn for insurance at 3-10 bushels an acre. Last year it would be 130-160 all day long. With crop insurance they are coming out about even with the guys that have a 120-130 bushel crop. Harvesting expense is some wire to keep the cows in the corn, pick up basis on insured bushels and save nutrients for next year.
The deal is the WHOLE state of South Dakota was on the edge of this type of yield. Take away some spotty, but very timely rain and we would have lost 500 million bushels in a heart beat just out of South Dakota. The point being the acre expansion is in some production risk areas. We all had excellent sub-soil this year, better start rebuilding SOON ---for next year in a state like South Dakota.
|
Easier to be positive at 40,000 feet ............
