Weather concerns, geopolitical tensions, and economic uncertainty are dominating the market as much of the U.S. crop enters critical growth stages. These factors have fueled recent gains in grains and soybeans, with funds covering shorts in corn and wheat while adding length to soybeans and soy products. When it comes to marketing, staying disciplined is essential— uncertainty can easily cloud judgment.
Spreads and cash markets remain the clearest indicators of global and local supply-and-demand dynamics. They guide timely storage decisions, deferred hedges, and cash sales to capture carry efficiently while controlling costs.
Producers with storage can use the expanding corn carry for deferred sales, while the recent soybean rally has created strong pricing opportunities.
Price spikes sparked by news headlines provide opportunities to forward-contract, hedge, or use options, and lock in favorable basis levels before harvest pressure builds.
Get locked in
While breakevens are essential, storage costs and cashflow needs are equally critical. Even with ample storage, knowing your exact on-farm storage costs well before harvest drives smarter decisions on basis, hedges, and cash sales.
Monitor both futures and cash spreads regularly — each tell a clear story about global and local supply and demand and can help align sales, logistics, and cashflow needs with market realities.
Building a monthly cashflow projection at the start of the year removes guesswork from marketing and reduces the ‘fear of missing out’ on higher prices. Update it quarterly as yields and markets evolve in order to know minimum sales targets and working capital needs. View profitable sales as wins and focus on the final average price for each commodity.
Now is the time to tighten up loose ends as harvest approaches — review contracts, confirm storage availability, stress-test your marketing plan, and lock in any attractive opportunities. This preparation lets you make disciplined, profitable decisions throughout the season instead of reacting under the pressure of added uncertainty.