bid starts here.
What do you think of when you hear the words "five stars?" I think of resorts, sun, beaches, bikinis and cool drinks. OK, now come back to reality and stick with me. Farmbucks uncovers five-star prices week after week - prices that can eventually pay for that beach vacation or whatever it is that you're into!
Prices are still attractive across the board for both new and old crop. And with the snow melting off and uncovering black soil across much of the Prairies, it feels like seeding is right around the corner and it should be April, but alas, it's only March 5. Drought and precipitation, or lack thereof, have crept into the picture and will play a role in the markets.
I know you have a lot on your plate at this time of year, so let Farmbucks alleviate some of your stress. Use it daily for sustained confidence to know that we are looking out for you!
Canola: Hot Damn! This market just continues to impress. This week, cash bids of $19.10/bu were found for old-crop (May delivery) and $14.60/bu for Feb 2022. I even had one elevator looking for farmers to put in targets for $20/bu on old-crop canola (no guarantees it would trigger) ... yet! With the markets flying the way they are, it wouldn't even surprise me. There are still many reasons for it to get there: crushers are still going hard, supply is low, strong vegetable oil markets, steady new crop acres are planned and now there are dryness concerns. But be warned, at current market levels, it's extremely volatile.
Wheat: Still bouncing around. Next week on March 9, the USDA will release its WASDE report which will report old crop stocks and new crop estimates for acres and production. The large unknown is how much of the American winter wheat crop will be written off and how many acres will be converted to corn or soybean.
Barley: Generally still strong. Old crop supplies are dwindling and solid corn and wheat prices are supportive. However, we did see certain bids slightly decrease earlier this week because of higher ocean freight costs and concerns over the resurgence in African Swine Flu in China's hog herds. There's a newer, more contagious strain running through certain herds. This is definitely something to keep an eye on as it has the potential to put additional pressure on the feed markets. Adding to the pressure, there's also word that Prairie farmers will plant more barley aces this upcoming growing season. It's probably not a bad idea to lock in some $6/bu new-crop barley if you plan to grow some. Currently, we are finding old crop bids for $6.65/bu and new crop at $6.00/bu.
Peas: Stronger again! Old-crop yellows gained more strength. Finding $11.50/bu for old crop yellows and still $10.00/bu bids for Aug.-Nov. movement on new crop. Green peas are around that $10/bu mark for both new- and old-crop.
Around the farm: What a week! I am busy watching markets (obviously I do not have to tell you guys that), I sold a little more canola (who can resist $19/bu canola?), and making farm plans. I need to decide what chemicals I want to get quoted on and am lining up trucks to haul wheat out next week. It's absolutely beautiful outside so I plan to maybe sneak in one more sled ride in tonight (yes, we still have snow and it still looks like winter around here - six foot snow drifts do not disappear that easily).
Hope you are all finding ways to enjoy the warmer weather, too.
Cups up! Cheers to Friday!