any one else locking in some n/c 2012 prices?

Dave from MN · Jun 23, 2011

I contracted some corn this past week, lowest was $5.63. Just enough bushels to equel what seed/fert/spraying costs are estimated at. Thinking of doing a HTA also on more bushels, maybe like 5000, I want to try it and see if it is a good tool for me. Beans, not sure I want to, I can grow corn better than beans.

JWalker · Jun 23, 2011

I have a contract for corn at $6.92/ bushel. I am sweating that contract everyday. I have not had any rain since mid May, and if I do not get rain this week my corn will be a total loss. I may have to buy that contract. Be careful and do not over sell.

fixerupper · Jun 23, 2011

I have a gut feeling we don't have to worry about forward contracting unless the lender requires it. The portion of the corn belt that's enjoying good weather is smaller than normal. Corn reserves are as tight as they have ever been. The loss of ethanol subsidies and the lower number of cattle won't affect us until next year if at all.

Darned near every time I've forward contracted, the current price is higher than what I contracted for when I deliver. Jim

VADAVE · Jun 23, 2011

I had a 2010 contract for corn and we had an extremely dry year. I wound up buying out the contract cause I couldn't fill it. In addition I realized the price at harvest was as good or better then the forward price in March.
So this year did not contract any expecting the harvest cash price to equal the forward price in March and the long term climate prediction was for continued drought. So far the price bet is still good and the rains have restarted after a 1 month drought.
Ask again AFTER harvest.

Howard H. · Jun 23, 2011

Where are you located?? Just curious...

We're as dry as we've ever been out here in the TX panhandle...

Pretty weird how this year half of the US is drowning & half is burning...

Howard

billonthefarm · Jun 23, 2011

It sure is tempting isnt it? I've got quite a bit of 11 corn sold and it looks like a better decision everyday. The biggest problem is we dont have a crystal ball. Corn going higher than this just looks impossible. I stopped at the elevator yesterday. We were talking about some 5.15 dec corn I sold a LONG time ago and how cheap it is in retrospect. They said not to feel bad there are guys delievering sub $4 corn yet. They never would have dreamed 4 was to cheap any more than I could have seen 5 would be to cheap. Seems impossible corn could go higher but it could and it may not have anything to do with what goes on outside our own back doors. Still if you can get your inputs bought and lock in a profit, its good business. Good luck.
bill

any one else locking in some n/c 2012 prices?

Dave from MN

Well-known Member

JWalker

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fixerupper

Well-known Member

VADAVE

Well-known Member

Howard H.

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billonthefarm

Member