Posted by: usset001 | March 19, 2014

The pricing of 2014 new crop spring wheat begins today

wheatfieldAfter dragging my feet for too long, I finally posted my 2014 pre-harvest marketing plan for spring wheat in mid-November. It featured a minimum price objective of $7.50/bu. in the Sep’14 MGEX futures contract. At the time, the Sep’14 contract was trading about 25 cents shy of the minimum but, why worry? The market had spent many months trading in the $7.50-8.00 range, and I was just a short rally away from taking action.

The rally, of course, proved elusive through the end of the year and in the first month of 2014. Sep’14 futures sank to nearly $6.10/bu. by the end of January. I had lost hope of getting any sales made before harvest.

But February was a good month for wheat prices. March, so far, has been even better. Today the Sep’14 MGEX contract closed at $7.525 – the wheat market has improved an average of 20 cents per week for the last seven weeks. I get a second chance!

Today I choose to price about a third of my expected wheat crop at the closing price of $7.525/bu. I will get it posted to on my marketing plan soon. And, as always, we can hope that the first sale is the worst sale.


Responses

  1. 9-Demuestra las inesatigvciones del fallecimiento de Hilario.10- Darle la carta a la justicia y condenar al jardinero.11- Cuando se murió Hilario, porque no se pudo hacer justicia.12- Por una deuda, un malentendido o una venganza porque no era respetado.


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