Maizeing - 8/21/2015 05:29

Corn basis is going to be an interesting animal this fall. It is far from a one size fits all recommendation. Basis is the price that makes grain move, so in your part of the world where there is going to be lots of supply and as Hurricane points out, a good possibility of a local demand problem, I would say playing some defence on current reasonable numbers makes sense. The degree of those 2 factors is yet to be determined and that is what will set the height of the limbo bar. I don't expect the board is going to be a helping hand in the cash market at harvest so, if it wants to push into new contract lows (usually makes low first week Oct) basis is going to be supported to pull corn into the cash market. That is where all these shiny new bins come into the equation. In some areas, there has been enough space created that space will now bid for bu, where a few years back a good crop meant bu had to bid for space. It's your job to apply those principles to your situation. Never a dull moment in the cash grain biz! Good luck!