Mark's Market Talk for August 5, 2024

We turned the calendar to August last week and we are not begging for rain which is a big switch from the past few years. Most of us have enough moisture to finish the corn crop and we are in good shape for the time being on the bean crop. Unfortunately, the markets feel we have record crops coming and the prices have continued their downward trend. Corn was down 7 or 8 cents last week while the bean market was 21 lower. We were higher last Friday, or the weekly lows would have been more dismal. Corn basis levels softened late in the week as it appears more old crop corn is moving to town. The funds are still heavily short the market on both corn and beans, but there is still a lot of old grain to deal with. Some of this grain will get rolled into next year’s markets. There are times this can work, but this might not be the year to do it. The August USDA report will be out next Monday the 12^th. It seems lately every report has been advertised as volatile, and this one will not be anything different. There will be crop acreage and projected yield adjustments made. The common thought has been they will lower the planted acres due to some prevent plant. But they may raise the projected yields on what was planted, and we still end up with a big crop that may be hard to market. Most of us knew there would be a day of reckoning when we had almost 3 years of above normal prices, and it appears that time is here. It is very easy to get depressed in times like this. Instead, we need to count our blessings. If we have our health, a safe home, and good friends and family we have what is important. There are so many people in the world that have none of this. So, take a summer break and enjoy what you have in life and be thankful for it.