#539 - “Risky Business - Store & Ignore” Weekly Market Outlook: Oct. 23-27th.

Jim McCormick with AgMarket.Net visits with Chris in this episode as harvest continues and Jim questions whether or not the harvest low is in? As we enter the last week of crop insurance price discovery, it looks as if corn will land somewhere around $4.90 while soybeans well land likely in the area of $12.74. As of this recording, there are still seven days of price discovery, but it is unlikely the prices will move very much from here. Chris and Jim go on to discuss the one day price run up that we saw last week and question the idea of pricing when these short-term opportunities present themselves. Jim talks about the challenges of out producing the current demand, along with the challenges of moving grain with record low river levels. They also discuss the importance of doing your algebra in calculating the following variables such as basis, carry, interest rates, logistics, storage cost, and your cash flow needs. One potential bright spot could be challenges with South American weather however, that is still yet to be seen. They wrap up the conversation on the importance of considering matching up your input purchases with some sales to lay off risk for the 2024 season. If you’d like to reach out to Jim, you can contact him at: [email protected]