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Old 08-03-2007, 08:46 AM
Fishhead24 Fishhead24 is offline
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Join Date: Jan 2007
Posts: 1,196
Default Re: Commodity Strategy (long)

As mentioned before, I recieve numerous emails throughout the day from friends that are farmers..............this is a great tool for investing in grain futures.

Here is an interesting one I recieved today that may be helpful in some capacity for those tackling the grain markets.....................

I sold 40K corn for $ 3.92 harvest delivery. That leaves me with enough storage on the farm to hold the rest of it...for awhile it looked like I might not be able to hold all of it..but this dry weather is eating our lunch right now. The reason I didn't sell more was that at the time the price was high, we were either too wet to get into the fields, or it looked like we might not get enough rain to grow a crop. I believe my strategy is going to pay off in spite of my lack of selling more $ 4.00 corn. We need to use the marketing loan for what it was intended....if you need cash. It's just a matter of waiting it out guys. Store it and hold for spring rally..it's coming. I think beans can easily go to $ 10.00....with another 15 days of 100 degree heat and no rain, our bean yields are going to drop like a rock...double crop will be not worth combining....and the odds of this extended heat and dry weather is pretty much 99%.....My entire farm will go to beans in 08.... The fertilizer and seed companies made their big score in 07....and their price gouging strategy for 08 is going to blow up in their fricking face....With $ 10.00 beans....do you think they can get the corn acres @ $ 3.00????? duh....don't think so. We've got em by the balls if you think about it. I'm going to be laughing all the way to the bank this fall...each one of my cornfields is in a different section - each standing on it's own....which means that my 200 bu/acre early planted corn won't be averaged in with the May planting that is just through pollination and the heat is eating it up...but who gives a crap.....85% RA 150 guarantee @ 4.05....???? This drought and heat may be our best friend in the long run guys....and commercials and funds can KMA. Live is good...Outback is right....$ 100.00 bbl oil.......grain is about to explode
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