What Is This World Coming To?
Hello to all our customers and friends,
I know Labor Day weekend is supposed to mark summer’s end, but this year it seems to be even more prominent. Fall is approaching more quickly than I remember. Hedge balls are dropping off the Osage-orange (hedge) trees, pecans are falling from the tree at the farm and walnuts are on the ground down the block from our house. I always thought these were October activities. While this seems early, corn harvesting is in full swing and some soybeans are being cut. Yields locally have been good though the early stages are usually the lower end of an operations harvest. The recent rain, which ranged from 1” to 5”, will make for good wheat planting conditions. The crop insurance plant price for the 2018 wheat crop was established at $4.87 which is $.28 / bushel higher than last year, but still nothing to write home about. It seems there may be a few more acres planted to winter wheat this year in our area, but for needed crop rotation and not for the optimism of planting a profitable wheat crop.
There are piles of corn developing in many parts of the country that are being brought in from farm storage bins to make room for the new crop just beginning to be harvested. A good crop is being predicted and the softness in the market can be rationalized by all the carry over grain from last year. The cash corn price is now $3.00 or less in most locations of Kansas and Nebraska. Soy beans seem to be holding on with a small gain in price, even though the acres planted increased from last year and yields are looking good.
The livestock side of Ag, as I mentioned last month, has hit the down time of the cattle annual cycle. Fat cattle have stalled at $1.05/ lb. to $1.08/lb. Calves and feeder cattle seem too high for the fat market but the cow calf folks will gladly take some profit from one enterprise to offset the grain production frustration.
As for the state of the country and world right now, I am edgy. There are lots of variables out there and while I am not a dooms day worrier there seems to be a lot of suffering that could be alleviated with the correct mind sets.
I was told last week that folks that predict the end of the world are really wasting their time because if they are wrong they are embarrassed and if they are correct there is no one to “high-five” them. Have a safe harvest and let’s hope for some more strong exports.
Until next month, Myron