Grain Market News  06/02/22 2:48:58 PM

Grain Market News June 3rd, 2022
 
The wild swings inside the grain futures markets continued thru May. Corn started out at 7.93 futures trading as high as 8.09 on 5/16 ending the month at 7.52. Soybeans had a bigger trade range. During May beans opened at 16.03 traded to a low of 15.86 on 5/9 back up to 17.61 on 5/27 ending the month at 16.82. A lot of volatility during the month with no real clear direction.
The Russian conflict has played a big roll with the markets the last couple months. The lack of exports from both Russia and Ukraine has affected prices. The US has been picking up some of the extra export demand. Since these two countries represent 25% of the worlds export on wheat futures have risen accordingly taking both beans and corn with it. Another issue affecting price has been the delays in planting. The USDA report on planting progress 5/31 showed the US corn and bean planting at 86% and 66% respectably. This compares to last years corn at 94% and beans last year 83% planted. Some good heat units along with timely rains can speed the crops along.
Something to keep in mind as we move into summer. The futures are trading a fairly large inverse going from the July futures to the Sep and Dec. This is telling us to sell all the corn early and not to hold corn into the fall. Contact Karen for more information on corn and bean pricing. The Coop is also offering free DP until September 30th. If the bushels are not priced by than storage charges will start at that time. The new crop values are also good look at pricing some new crop corn or beans.
The Burdick rebuild is moving along now, the receiving equipment is nearing completion with some down spouts yet to be installed and wiring finished up.  A very big problem during the last year has been equipment availability. The drying system construction has started, concert is poured to support the legs and dryer. At the same time another crew is working on the shipping system. This equipment has been arriving head of time so we are very comfortable this will be done in September well in front of the fall harvest.
 
Lee Beer
Grain Division Manager
 
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