USDA November Corn Crop Report:
Headed to 175 BPA Yield ?
This should be a great catch-up week on the USDA harvest progress report. Historically, when the Dec/March corn spread gets to 80% of full carry (full carry running about 18 cents), grain merchants often look to lock in cost. However, don't be surprised given the amount of harvest still to go, if there is no rush to hedge ownership in March futures.
One basis caveat is barge freight. With nearby freight trading at such biblical values, users tributary to river markets need to monitor rail/barge/bid fungibility. Union Pacific released their earnings today. The type of season and the weather we are having should have us claiming to read (though not actually about garnering) Carl Sandberg's "Harvest Poems".
CBO report sees tougher times ahead for ethanol
The CFO Systems Corn Crush
The CFO Systems Corn Crush is now $0.83 /gallon of ethanol on October 23, 2014.
*Using nearby CBOT corn futures, CBOT ethanol futures, USDA corn oil prices and ethanol industry conversion standards.
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