Kim Anderson Says Wheat Prices on the Slide, Advises Producers Be Ready to Sell by SeptemberThu, 20 Jun 2019 16:52:41 CDT
Oklahoma State University Extension Grain Market Economist Dr. Kim Anderson joins SUNUP host Lyndall Stout this weekend for his weekly update on the grain markets. According to him, as harvest has moved north, wheat prices have moved south with the trade backing off its recent rally by roughly 20 cents over the past week. Anderson says this move in the marketplace is in reaction to the strength of corn prices currently, now at a five-year record high of around $4.50.
However, Anderson says there is some good news and bad news developing that is playing a game of Tug-of-War within the US wheat market. On the plus side - reports that wheat is starting to be fed have arrived which Anderson believes will be good for prices as the demand for wheat is driven up over harvest. At the same time, Australiaís run of bad luck seems to have continued with a very dry growing season which has given the Aussies their third poor crop in a row.
Conversely, Russia is beginning to forward price for its new crop which is expected to be delivered late August or early September. Anderson says once again, Russia has priced their wheat much more competitively than the US and has produced a high-protein, highly marketable crop. On top of that, growing export demand for spring wheat has siphoned off premiums normally afforded HRW wheat which is now in less demand since the Black Sea Region inundated the global marketplace.
With record harvests expected around the world again this year, Anderson is advising producers to sell their wheat before September 30th as has been the historical benchmark for prices to drop off. That is unless the Black Sea Region loses its crop between now and harvest. If that happens, he says prices could run up significantly.
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 Lyndall's weekly chat with Dr. Anderson- the SUNUP crew has a very full lineup for your viewing this weekend:
This week on SUNUP, learn about the pros and cons of burning wheat stubble following harvest. John Weir explains the importance of conducting the burn correctly, Jason Warren talks about the impacts of burning stubble and soil conservation, while Brian Arnall has information on soil nutrition following burnt stubble.
- Then, Josh Lofton has an update on harvest of winter crops and says itís time to start scouting summer crops.
- In the Mesonet weather report, Wes Lee shows us how close dew points have been tracking with air temperatures. Gary McManus says we could see drier conditions for the remainder of June.
- Alex Rocateli explains the differences between Bermudagrass intended for grazing and haying. He also has information about the upcoming Summer Forage Field Day in Chickasha.
- In Cow-Calf Corner, Glenn Selk talks about the importance of pregnancy checking replacement heifers.
- Derrell Peel says year-to-date beef exports are down and imports are up.
- Dr. Barry Whitworth has information about anthrax and how the recent rain can increase cases.
Join us for SUNUP:
Saturday at 7:30 a.m.
Sunday at 6 a.m. on OETA-TV
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