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February 18, 2000MARKETING |
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By Bryce Myrick As you plan for crop planting in 2000, many factors will have an effect on commodity prices. To help you with a marketing plan, here are some things to consider in wheat, corn, soybeans, and cotton. U.S. wheat planted acreage will probably be down 1 percent, and with dry weather in the Plains, wheat production should be down nearly 200 million bushels. You may have an opportunity to market wheat in March—April around $3.30-$3.35 for July futures. World production corn will be up in 2000. U.S. planted acreage should be steady. Use any spring rally as a marketing opportunity. Soybean planted acreage will be near record levels in the U.S. South America is still the key in bean prices. Prices will probably be better in 2000 than in 1999, but be careful. With an estimated 18.5 million bale production, U.S. carryover should increase. This may create a scenario where the world price increases and U.S. price does not, causing lower LDP payments. Be prepared to lock in December futures. To set up workshops or for help with your hedging needs, call 254-751-2242 or 915-698-0355 or e-mail: bbmyrick@swconnect.com.
July - KC Wheat
November-Soybeans
September—Corn
December - Cotton
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