Kim Anderson Says Grain Markets are Slow, But Thinks They May Have Found a Bottom, on SUNUPThu, 20 Sep 2018 16:56:43 CDT
With little action taking place in the grain markets this week, Oklahoma State University Extension Grain Market Economist Dr. Kim Anderson says that judging from the recent price patterns in futures trade, it is likely that the grain markets have finally reached a bottom. This week on SUNUP, Anderson talks about the stabilization that seems to be occurring for corn, soybeans and wheat.
Harvest season is just beginning for both corn and soybeans. The latest USDA Crop Progress report indicates that each crop is roughly 10 percent harvested at this point. Anderson says the market outlook for these crops will become more clear as harvest progresses. In the meantime, though, crops within the Black Sea region continue to dictate the direction of the market. Anderson says the volatility that has started to simmer in markets lately is due to the uncertainty surrounding those crops in Russia and Ukraine. It is still unknown at this time whether or not Russia’s government will cap exports this year, plus there are rumors beginning to circulate as well concerning the quality of Russian wheat, known to have suffered sprout damage this past growing season. At the same time, Ukraine’s production seems to have been undershot and could be increased from previous estimates. If Russia ultimately caps its exports (some say as much as 236 million bu.), it is possible that Ukraine could move to capture some of that. However, it is possible Ukraine could be backing off its exports by as much as 50 million bu. this year. These prospects bode well for the US export business.
Also folding in, are the Argentinian and Australian wheat crops, which will start being harvested during the next couple months. While Argentina is expecting a very average crop this year, Australia’s is expected to come in well below average. The outcome of these harvests will have significant impacts on the markets moving forward. Until that becomes apparent, though, Anderson says prices seem to be settling in their current positions.
You can watch their visit tomorrow or Sunday on SUNUP- but you can hear Kim's comments right now by clicking on the LISTEN BAR below.
Beyond their weekly chat with Dr. Anderson- the SUNUP crew has a very full lineup for your viewing this weekend:
This week, we learn about the four new wheat varieties released by Oklahoma State University’s Wheat Improvement Team. Also, Brett Carver gives us a glimpse into the approval process for new wheat varieties released by OSU scientists.
- In the Mesonet weather report, the recent heat and humidity was quite a departure from normal, Wes Lee show us just how much. Gary McManus says drought is on the run, and the outlook for the next couple of weeks looks promising for winter crop planting.
- Brian Arnall says try to plant your winter crops with a starter. If you can’t, there are still options.
- In Cow-Calf Corner, Glenn Selk offers advice on maintaining body condition scores of pregnant cows as forage quality wanes leading into winter.
- Then, Charles Luper has information about an upcoming pesticide disposal event.
- Finally, in Naturally Speaking, Dwayne Elmore explains why a disease called Blue Tongue is so harmful to deer and who to contact if you suspect it.
Join us for SUNUP:
Saturday at 7:30 a.m.
Sunday at 6 a.m. on OETA-TV
Kim Anderson Says Grain Markets are Slow, But Thinks They May Have Found a Bottom
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