This Week on SUNUP Kim Anderson Says Wheat Price's Descent Slowing But Hasn't Hit Bottom YetThu, 30 Nov 2017 17:12:45 CST
This week on SUNUP - OSU Extension Grain Market Economist Dr. Kim Anderson speaks with host Dave Deeken about the contract price of wheat this week, which turned lower since the last episode.
Anderson reports that both corn and wheat set new contract lows this past week.
Wheat had support at $4.30, but has since worked its way down to $4.25. Anderson had previously warned that breaking its support line at $4.30 would open up the potentiality of dropping by as much as $0.20 before it hit another support level. But currently, he says it has come off that some and is just treading water for the moment in a limited range. Nonetheless, Anderson admits breaking the $4.30 mark has made him a bit nervous about the future.
Still, the general consensus is that both commodities, corn and wheat, are at or near their bottom. Rather than just a seasonal reaction of some sort, Anderson believes the current movement being seen is all relevant to the overall trend in the markets.
He says at the moment, traders dealing with Chicago wheat contracts are near 109 - 110,000 short. This situation is mirrored in other commodity markets as well, including corn which set a record of 23,000 contracts short. Hard wheat, currently is running between 15 and 20,000 short.
Anderson says traders have mostly been selling into this market, rather than buying. The main thing right now, he insists, is for profitability to return, the commodities must clear the market some first. And then, he says any chance of seeing a price increase will depend on the quality of product farmers deliver at harvest. He repeats again his message that given high test weight and protein levels, prices will indeed go up by $0.75 to a $1.00 more.
You can watch their visit tomorrow or Sunday on SUNUP - or you can hear Kim's comments right now by clicking on the LISTEN BAR below.
Beyond Dr. Andersonís weekly chat - the SUNUP crew has a very full lineup for your viewing this weekend:
This week on SUNUP, we start with a soil nutrition update for winter crop fields from Brian Arnall. We also learn about the upcoming Winter Crop School.
- Then, in the Mesonet weather report, Gary McManus says drought is growing across the state, but there are chances for rain in the forecast.
- Ryan Reuter explains why Oklahoma works so well for dual-purpose wheat as a forage.
- In Cow-Calf Corner, Glenn Selk uses personal experience to explain the importance of making room now for spring-born calves.
- Finally, we head to Ardmore to see what researchers hope to learn about the impact of feral hogs on pecan harvest.
Join us for SUNUP:
Saturday at 7:30 a.m.
Sunday at 6 a.m. on OETA-TV
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