Morrow County Grain Growers

Pendleton Grain Growers

Duane Disque Or John Ripple

Jon Sperl

1-800-452-7396 or 541-989-8221

1-800-422-7611 or 541-276-7611

or Dan Steiner 481-6614 (work), 571-3798 (cell) graingrowers@centurytel.net

GOOD MORNING!!

Below are the best indications available as of:

9:00

1/31/08
 

SWW

SRW

DNS

HRW

Barley

Corn

Month

Portland

Chicago

Portland

Basis

Portland

Basis

Portland

Cash Px

Basis

February

12

14.48

2.55

11.07

1.38

256

196

March

13.25

14.51

2.58

11.10

1.40

257

April

13.25

14.55

2.62

11.13

1.45

258

May

13.25

9.29 CKW

14.59

2.66

11.17

1.50

258

June

2

1.50

JULY

8.87

8.52 CNW

11.48

.65 N

9.77

.55 N

AUGUST

8.85

8.60 CUW

10.82

90 U

9.78

.50 U

O N D

+.04/ mo

CZW

192

LDP's

-11.88

  

-10.53

  

-6.26

  

-3.79

-2.63

  

***Club premium: .00/ bu.

 

-.02/ 1/4

  

-.05/ 1/2

      

***NOTE: Corn bids vary depending on point of delivery. Please Call for Updates.

 Futures called mixed to open. The fundamentals are still quite bullish, but there is a strong sentiment from the specs toward taking profits/ consolidating. But with the stock markets acting so "twitchy", the specs are far from stable. Demand seems to seep in almost as soon as the markets show signs of weakness. There are more places opening up wheat exports like Argie and the Ukraine, but quality/ quantity/ varieties are limited. Right now its all about "just making through to harvest", which is ok as long as the new harvest doesn’t disappoint. The RFA (Renewable Fuels Assoc) says that the .54/ gallon import tariff is still needed to help support the domestic ethanol industry. Sec. Of Energy Bodman says that the domestic ethanol industry is strong enough to stand on its own, and the .54/ gallon now is just a subsidy for the ethanol industry.

Sales numbers for the week were again quite bullish. Corn was expected to land from 39-55 myn bu…but the actual was 74 myn bu. Basis levels for corn on the interior remain firm indicating that selling is evenly matched to demand. In wheat, traders were hoping for 14.7-22 myn bu, and we got hit with a 18.7…which is still VERY STRONG. Breakdown was: 7.3 HRW, 5 DNS, 3.9 SWW and 2.6 SRW. A look at the sales slips show LOTS and LOTS of small lots. Corn basis on the interior of the US remains firm indicating a well matched balance between sales/ demand.

With all that’s happening in the futures markets and the SWW markets, if you are still holding SWW perhaps the best thing at this stage is to exercise patience, and see if we can get some normality to return to the markets.

***Didja Know: There are about 2.2 myn weddings/ year in the US…that’s over 6,000/ day. Over $1 byn in Chocolate is bot for valentines day (75% of it is by men).

***All bids are subject to change, please call for CONFIRMATION of prices. All information in this letter is from sources deemed reliable, and is for informational purposes only***