Following up on "Agricultural Commodities: Whither the Weather", immediately below.
A very smart piece from AgWeb, June 18:
Jerry Gulke: What Are These Markets Trying to Tell Us?
....“Weather forecasters are saying sometimes in the next two weeks you could get 1” to 2” of rain over across the majority of the Midwest,” Gulke says. “We had rain come through last night in northern Illinois. We had three systems come through, and we got a total of a tenth of an inch. We had a 95% chance of rain. We did get rain — about 17 drops.”
Gulke says the markets are quickly shifting gears to focus on the June 30 Acreage report. Early estimates range from record planted acres to no changes from the March 31 Prospective Plantings report.
“We’re in the camp of about 3 million acres more of corn than what was estimated in March,” Gulke says. “If you multiple 3 million harvested acres by 180 bu. per acre you get 540 million bushels. If we get the acres and the yield doesn’t fall too far, we can offset a crop problem in the Western Corn Belt and northern Plains.”
That level of acres and a lower yield, he says, does not justify $6 corn and certainty not $7 or $8 corn....
....MUCH MORE, including audio
Combine [!] the June 30th report with the July WASDE and you have a recipe for action baby, action.
Cue Viva Las Vegas:
