Wheat Prices up WHATS NEXT ???

[Don_Papenburg]

There you go   .  I was in a store one time and some old woman had her youngun draging along . He wanted some of those Thompson seedless grapes . She looked at them and told the kid they were too expensive at a dollar a pound.  Later as they checked out she had M&Ms at in the big bag  selling for 2.50 a pound.
Most people in the USA do not know how good they have it . I have heard that in Japan they pay $12.00 equivlent  for a muskmelon.  A lot of European contries they spend 50% of their income on food .  We get by for the most part on 15to 20%.

[Don_Papenburg]

Kansas , If Smithfeild  cuts their breeding herd it is to run the price up on the consumer . They and Tyson and a few other packers are the only ones that raise livestock that can pass the increased cost of inputs onto the consumer.

[olyman]

Kansas , If Smithfeild  cuts their breeding herd it is to run the price up on the consumer . They and Tyson and a few other packers are the only ones that raise livestock that can pass the increased cost of inputs onto the consumer.

and know how this happens--college educated firguring out how to take consumers to the bank again. good ole american greed. farmers have been taking the hit for years. and while i hate unions. it might just bring the big grain cos to their knees. question i always had. farmer never sells no 1 grain to the elevator. and always pays for some damage. yet no 1 gets sold out of the elevator. just how does that happen????????????????????farmer gets no 2 price, but his good clean grain gets sold as no 1----kind of like the southern ports adding sand to the corn being sold overseas cause they could put just so much crap in the corn, then they blamed the farmers. as i said, good ole american greed

[HOOF-ER]

Price of  meat is indirectly related to grain prices. It always comes around. I have already heard that they are knocking dairy bull calves in the head. Much beef comes from these animals and with milk replacers and grain at all time highs, no one want to feed them. Hay ground and pastures will go to grain. CRP ground will come out and be farmed.  These things always cycle , just not to these extremes.

[Gary_C]

I have already heard that they are knocking dairy bull calves in the head. Much beef comes from these animals and with milk replacers and grain at all time highs, no one want to feed them.

At the local livestock auction on Monday, Feb. 25, 2008 bull calves sold for $60 to $115 per head. That is down from over $200 apiece a few years ago, but still it's a better deal than nothing.

In 60 days those calves will be worth at least twice that much.  That's not a bad deal if you know how to raise them and especially if they were free.

[HOOF-ER]

These were southern dairies unable to sell calves. My good friend has a dairy and he said that people had been pestering him for bull calves. Now he has to call and peddle to get them sold.

[stonebroke]

olyman

In the port of Albany( major grain exporting port) Cargill brings in Traincarloads of Grain dust to mix with the grain as it is loaded on the ships. I think they are allowed 2% and they always have 2% damaged grain. Then the overseas buyers complain about the quality! he farmers do their job and somebody else makes the money.

Stonebroke

[bull]

grass fed beef is sounding better, finished w/ some good home grown corn silage.... raise your own you don't need to be buying grain, from the big guy..... Yeah I know the price of corn seed is going up.... but I only need enough to finish 2-4 week pre slaughter...... some mineral supplements can help if needed.

good pasture+ good hay + good grass silage = good beef, finish with corn silage great beef....

brewer grain,ethanol waste also good feed sources
pre digested corn has higher available energy than grain stage corn.....

[Kansas]

I saw that yesterday the price of wheat was up the limit of 90 cents per bushel on the Chicago board of trade. Overnight, it rose 75 cents, then dropped 110 cents. Wheat is moving more in price in a 24 hour period than it used to move in an entire year. I suspect the same people moving the price of wheat around are the same ones that do it with the price of a barrel of oil.

[stonebroke]

Can you spell speculators. Or another word for gambler.
Stonebroke

[Don_Papenburg]

Bull , If you are just going to make silage out of your corn ,then the seed should cost no more than $4.oo  .  You can plant corn right out of the bin or local elevator.
However if you get it from the elevator make sure you tell no one what you are doing with it . Monsanto will be at your farm so fast to make sure that they can sue the heck out of you because some of the corn might have their genetic traits.

[Ron Wenrich]

Speculators only give the market liquidity.  If you're a wheat farmer, you can ice in those prices right now.  You can sell one of those contracts and guarantee that price for your wheat.  Our you can buy a put, if you think this market will drop.  That's called hedging.

On the flip side, those that are buying can buy a call or buy contracts outright.  Those contracts can be bought a year and sometimes 2 in advance.  The big boys are the ones that move the market. 

Not all gambling is done in Vegas.   ;)

[SwampDonkey]

We never had that ability here. We had to buy when we needed it in the spring for whatever the going price was then. Same with potato seed and this is a large potato producing area, the only control we had there was to grow our own and get graded and approved by the government. The processor tried to control that ability with genetic modified seed potatoes. But, thankfully the public shot the idea of using genetic modified seed down. Otherwise you had to buy seed and sell the potatoes to the processor at their mercy or you'd find your farm foreclosed on since you couldn't process them yourself to pay the bill. That outfit is setting up shop in China, so it's only a matter of time they decide to relocate. These guys went to school with a lot of the old farmers here and not a foreign entity. Doesn't take long to get rich when you steel 20 % and pay below production costs.  :