IARN — “(It was) a good week for the grain markets,” says Matt Bennett, founding partner of Ag Market. Bennett provides a brief recap, and suggests producers consider “taking risk off the table.”
Corn futures climbed 15 to 16 cents this week, while soybean futures soared an upwards of 40 cents. Matt Bennett admits, “While it has been a good week, it has also been a wild week.”
“Monday had a good tone. Then Monday afternoon you saw your crop go down five points on corn and three points on beans, on the good to excellent (rating). I’m not a big (into) crop ratings, but it shows you what’s going on out there,” Bennett says. “We had the table set for a big crop coming into August. August did not want to cooperate, in typical 2020 fashion, (so) that’s what we have – A crop that’s getting smaller every day.”
U.S. Department of Agriculture’s (USDA) Foreign Agricultural Service (FAS) and private exporters this week recorded “solid export sales.” Bennett admits, “Corn had a better week than beans, as far as exports go, but beans are an August crop.”
“If you want to know why we rallied 40 cents, its because a lot of folks hoped the hurricane would come up and bless the Corn Belt with a nice rain,” Bennett says. “Given the fact we’re trying to fill pods right now, the timing couldn’t have been any better. But unfortunately, Hurricane Laura decided to hangout in the Ohio River Valley.”
Bennett tells producers to “pay close attention” to market action” and consider “taking some risk off the table.”
“When you have November beans trading up to $9.50, those are levels we would have given anything for a couple weeks ago. So we don’t want to want more whenever the market goes to levels we’ve been been hoping for all along. Pay attention to that very closely, crunch your numbers, and if you know you can make money, I highly suggest taking some risk off the table,” Bennett says.
Story courtesy of the Iowa Agribusiness Radio Network.
