And there it goes
(Just like that.)
It's a sea of red for the big markets this week.
Marketing grain isn't exactly simple. There are many moving parts - futures, basis, political conditions, speculation and when you go want to sell a crop there’s a ton of variance in cash bids offered. It changes all the time depending on each buyer’s interests, logistics, shipments and contracts. Do yourself a favour and don’t be naive. You have options. You have choice. Don’t waste your time wondering or searching. Just check our app! It might just present you an opportunity that you can’t refuse. Grain prices should never be hidden. It's a matter of life or death for my farm. So yes - price matters. Call me crazy, but asking for transparency and a little order does not make me a psycho b*tch.
Canola: Hindsight is 20/20. Monday would have been a good day to make some sales as canola took a massive hit this week and plunged lower. What a little bit of rain across South America can do to the markets! Soybeans plummeted lower this week and so have its related (soybean) markets. What will happen next? Only time will tell, but we do know supplies of both canola and soybeans are still going to be super tight. Dryness can still return to South America and further damage their expected yields and we will still be vulnerable to our own growing conditions come this spring/summer.
Wheat: Wheat also took a hit this week although not quite as hard as canola and soybeans. Prices were looking better this Monday and Tuesday than how they left us today. I'm seeing a few attractive pop-up specials in particular for feed wheat (don't worry about your grade or protein levels). This may be an attractive opportunity if you have questionable low protein and low-grade wheat.
Barley: Barley continues to impress. When I thought it couldn't get much better, old and new crop prices inch up a few more cents. Our supplies are dwindling down and thus our prices have to adjust to ration demand. Wheat and corn markets have also remained strong and are supporting barley.
Peas: Old and new crop bids are attractive! Pea prices, in general, are expected to remain strong because our supplies are shrinking due to strong exports, mostly out to China. Other pillars of support are the strong feed grain prices and uncertainty about our new crop to be grown this spring/summer.
Around the farm: Heavy winds blew this week and now the cool weather wave is here. Without missing a beat, of course, this is when I receive a call from my grain buyer to give me the green light to move some canola. We plowed the yard and are ready and waiting, but tomorrow is cooooold and is supposed to feel like -43°C here so I don’t want to risk running into any truck issues ... so I’ll delay hauling until the weather looks at least a little warmer than that!
The cold weather and Covid have me desperately craving a beach right now. Instead, I'll make a fire and sangria and dream about it. Are you going anywhere? Reply to this email and let me know so I can live vicariously through you!
Cheers to you and Friday.