Risk manager expects a corn market change
A risk management expert expects today’s relatively flat corn market to make a change soon.
Mike North with ever.ag tells Brownfield the corn market is likely going to move dramatically as the South American weather picture clears up, and farmers learn more about the price and availability of spring inputs. “And all of those things, that ball of uncertainty that those different issues create creates volatility, so don’t look for flat to remain the same. Six dollars and five and a half on the two different crops (old and new crop), we see that changing one way or the other.”
North says it will probably be a few months before the market moves, but the early signs lean toward higher prices. “I would say in the short run, there’s greater bias in probability for upside than there is downside because all of those issues I called out, none come with an answer for three to four months, and the reality of that is if you question the available supply, you usually do not take price down.”
North spoke to Brownfield during the recent Dairy Strong conference in Madison, Wisconsin.