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North Central Illinois | I find it amusing that so many on here look at these markets as some sort of curse. I don't think it is time to panic yet. This thing could be more of a sprint rather than a marathon and reach its peak in a reasonably short period of time. It might not either but I for one refuse to throw up my arms and proclaim these higher grain prices a catasrophe. If we go to $6 or higher and stay there for a prolonged period of time then it is a game changer with very serious implications. I think ethanol has more to fear from congress and the Obama administration right now that it does from high corn prices. I for one am looking at this as an opportunity. I will be selling more 2010 on Monday or Tuesday and some 2011 as well. I'm not really concerned about selling on the high. I am more concerened about selling at a nice profit. Lets face it these prices are offering a decent profit even on some marginal crops. If most of your 2010 is sold well then that is a different story. Take your lumps this year and look ahead to locking in a profit next year. I think the majority of the cash rent leases have been negotiated for next year. Trust me they were high enough before this latest market rally. Next year could be a real challenge for cash leases. Guys that have been willing to pay $400 and acre and lose money will now pay $500. I don't know where it stops but we need to pay attention to what is going on right now and take a cookie or two off of the plate when it is passed. We as farmers always hope for a decent crop and high prices or a big crop and decent prices. This isn't the end of the world boys. | |
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Big Panic
