Grain Exchange – 5/28/2020
Seeing higher prices for corn and wheat, lower for soybeans. Increase in ethanol production has corn trading higher today. Gasoline demand has rebounded over 34% since the start of the shut downs.
Soybeans are weaker as our relationship with China continues to deteriorate with rising political tensions between US and China over Hong Kong. US crush margins are also taking a hit.
Wheat is trading higher as forecasts in the southern plains show no sign of rain in the 7-10 day forecast. The weakening dollar is also supportive to the wheat market.
CFAP, Coronavirus Food Assistance Program, was released this week. This is a direct payment to farmers. Payments are based on losses where prices and market supply chains were disrupted. It is meant to help with lost demand and short-term oversupply. The program is being run through your local FSA office. The payment is based on unsold bushels as of January 15, 2020. For more details and a CFAP calculator go to the USDA CFAP webpage.
The crop is off to a good start. Please keep in contact with your grain marketing specialist to help get your crop marketed.
Keep the faith and stay safe.