Grain > Commentary > 4-20-2021

4/20/2021

Apr 20, 2021

4/20/2021
Corn and beans are now off the July futures.  Those of you with basis contracts left in the May need to be priced or rolled by mid next week.  Corn and beans rolled to new highs again today as both corn and beans remain well supported.  Farmer movement remains slow for now as we approach $6 cash corn and $14.50 cash beans.  Make sure you are taking advantage of these prices.  Can we go higher?  I think we can, but I would continue to scale up slowly on what you have left to price for old crop.  These are prices we don't want to miss out on.  Basis has improved drastically as movement is slow and the farmer hits the field, so that creates more opportunity.  It does not feel like we are stopping demand and slowing uses at these levels, so we continue to search for a price level that will.  Buckle in for a wild summer.  New crop movement has picked up some as we think about planting and see $4.80 cash corn and 12.35 cash beans for new crop bids.  It is a big discount to old crop, but is worth a look to lock in some margins.  Continue to scale up on sales and your average price should look good when this all shakes out.  
 

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