Managing for Profit
Take advantage of seasonal rally
Iowa State University Extension farm management specialist Steve Johnson says farmers need to take advantage of the seasonal spring rally in the commodity markets.
“I don’t think this is a rally that you do nothing about,” Johnson says. “You finish old-crop sales and you aggressively make new-crop sales to generate cash flow for next fall and winter.”
Johnson says many farmers will fail to take advantage of seasonal rallies. That’s unfortunate, he says, considering the financial pressures many of them are facing.
“I think the ag lenders are going to be less sympathetic this fall and winter to those who did nothing and speculated that the futures prices would be even higher as we got into late summer,” he says.
AUDIO: Steve Johnson
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