Pro Farmer's Daily Advice Monitor

Posted on 05/22/2020 1:17 PM

advice

Receive advice alerts via text message. Call 1-888-582-9212 to learn how.

  • May 22: No changes.
  • May 21: No changes.
  • May 20: Exit the 2020-crop wheat hedge. Add 2020-crop cotton hedges, cash sales. Details below. 
  • May 19: No changes.
  • May 18: No changes.

*Note: Check below daily to see if we recommend catch-up sales for individual markets.

Corn

Cash-only marketers

2019 crop: 60% sold 

Hedgers — cash sales

2019 crop: 50% sold 

Hedgers — futures/options

2019-crop: 50% hedge in July futures at $3.28 1/2 with a stop close only order to exit at $3.31.

2020-crop: 50% hedge in December futures at $3.43 1/4 with a stop close only order to exit at $3.43.

Hedgers should have all downside risk covered on 2019-crop. Cash-only marketers must wait on a price recovery to trim risk. Wait on an extended price rebound to make 2020-crop sales.

Soybeans

Cash-only marketers

2019 crop: 70% sold

Hedgers — cash sales

2019 crop: 70% sold 

Hedgers — futures/options

No positions

A push above the $8.65 area in July futures would likely encourage us to recommend further trimming old-crop inventories. 

Wheat

Cash-only marketers

2019 crop: 100% sold

2020 crop: 30% forward-sold via HTAs for harvest delivery

Hedgers — cash sales

2019 crop: 100% sold 

2020 crop: 30% forward-sold via HTAs for harvest delivery

Hedgers — futures/options

No positions

Wait on the next extended price recovery to advance 2020-crop sales. 

Cotton

Cash-only marketers

2019 crop: 100% sold

2020 crop: 10% HTA for harvest delivery.

Hedgers — cash sales

2019 crop: 100% sold

Hedgers — futures/options

2020 crop: 25% hedge in December cotton futures at 58.94 cents.

Get current with advised old- and new-crop marketings. 

Livestock

Cattle

2nd qtr. 2020

0%

3rd qtr. 2020

0%

4th qtr. 2020

0%

1st qtr. 2021

0%

Carry all risk in the cash market for now with futures sharply below the cash market.

Hogs

2nd qtr. 2020

0%

3rd qtr. 2020

0%

4th qtr. 2020

0%

1st qtr. 2021

0%

Continue to carry all risk in the cash market. Be prepared to hedge the next corrective move higher.

Feed

Corn

2nd qtr. 2019

Coverage in the cash market through May.

3rd qtr. 2020

0%

4th qtr. 2020

0%

1st qtr. 2021

0%

You should have all corn-for-feed needs covered in the cash market through the end of May.  

Meal

2nd qtr. 2020

Coverage in the cash market through May

3rd qtr. 2020

0%

4th qtr. 2020

0%

1st qtr. 2021

0%

You should have all soybean meal needs covered in the cash market through May. If prices drop more, we'll further extend coverage as current prices are a value buy.

 

Add new comment