Prices aren't moving much
WATSEKA – With the recent government shutdown and other factors, markets haven't been moving much.
Merrill Crowley with Midwest Market Solutions in Watseka says we are slowly moving lower and interestingly enough, prices are still finding support somehow.
“There is something under these markets,” said Crowley. “The only guess in my mind is that it is the Brazilian weather.”
It is still dry in South America but Crowley doesn’t see those farmers having a bad crop. The big concerns here in the U.S. have included the government shutdown and the trade dispute with China. As far as the markets go, we are in a trading range and the February average comes out next month. Patience will be the key moving forward.
Due to the shutdown, there was no January USDA report.
“It can be argued either way about the reports being needed or not needed,” Crowley noted.
A recent Ag Web article stated the shutdown gave giant agricultural traders an edge. We had no way of collectively knowing what was going on and that is the biggest problem with not having reports, according to Crowley.
There is a big need for corn and there will likely be a need for wheat. Crowley is looking to the March-May period as the time to see extra demand.
Crowley Commodities can be reached at 815-432-2220.