• Amid mounting bills [In this robust Obama economy], farmers forced to s

    From Leroy N. Soetoro@21:1/5 to All on Sat Jan 23 07:55:02 2016
    XPost: alt.business, sac.politics, alt.politics.democrats
    XPost: alt.fan.rush-limbaugh, alt.politics.economics


    Facing mounting bills and nervous creditors, U.S. farmers are beginning to
    sell off their crop stockpile - sometimes at a loss - and easing a months-
    long logjam prompted by the lowest grains prices in at least five years.

    Farmers now looking for cash to pay off debts and buy seeds for next
    season have been lured to sell by a four percent rise in corn futures over
    the past two weeks. That rise came after speculators with huge short
    positions were caught off guard when the U.S. Department of Agriculture
    (USDA) cut its corn and soybean harvest views on Jan. 12.

    Speculators slashed their bearish bets in the CBOT corn market by more
    than 36,000 contracts in the week ended Jan. 19. They also cut net short holdings by nearly 28,000 contracts in soybeans, according to data
    released by the Commodity Futures Trading Commission on Friday.

    In the eastern Corn Belt, tiny bumps in grain basis bids - the
    differential with futures that is paid for cash deliveries - have helped generate some selling interest in recent days.

    Archer Daniels Midland Co (ADM.N) has lifted its spot corn basis bid at
    its massive Decatur, Illinois, processing plant by 6 cents per bushel over
    the past two weeks. Given gains in the futures market, cash prices there
    are up more than 20 cents a bushel.

    But the amount of grain that moved into the supply chain is thought to be
    more of a trickle than a tsunami, say traders. And futures prices have not roared back, they say, in large part because of persistent concerns among
    grain traders over massive global stocks and tepid demand growth.

    Soybean prices, up about 1 percent over the last two weeks, are facing headwinds as the harvest of another bumper South American crop ramps up.

    Benchmark March futures for corn on the Chicago Board of Trade ended on
    Friday at $3.70-1/4 per bushel while March soybeans closed at $8.76-1/2 a bushel.

    How much of the near-historic volumes of corn and soybeans stored on farms
    has been sold and moved into the supply chain in recent weeks is not
    known. Cash prices for these sales are also hard to pin down in a market without screen trading.

    But traders are beginning to question the assumption that low prices had farmers hoarding as much grain as they thought.

    "There's still a significant amount of bushels to be sold, but not nearly
    as many as we had originally thought," said Ted Seifried, chief market strategist at Zaner Ag Hedge.

    About 61 percent of the country's corn stockpile was held on farm on Dec.
    1, the lowest since 2012, USDA data showed. Grain traders had expected
    that percentage to be closer to 69 or 70 percent.

    Nevertheless, on-farm soybean stocks were still the second-highest level
    in more than seven decades, and on-farm corn stocks hit their third
    highest in nearly a century, USDA data shows.

    U.S. farmers typically sell off much of their grain between Dec. 1 and
    March 1 to pay operational loans, fertilizer and seed purchases, taxes and
    land rent bills. But selling slowed when grain prices sharply dropped in
    the fourth quarter of 2015.

    But now prices still remain lower. Ohio farmer Keith Truckor sold some
    grain late last year at just over $4, but is holding back some of his
    crop, hoping for a rally.

    "Corn prices need to hit $4 for us to make a profit," said Truckor, 53,
    who is storing the rest of the corn on his 1,400 acre family farm in
    northwest Ohio.

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    Barack Obama, reelected by the dumbest voters in the history of the United States of America. The only American president to deliberately import a
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    Loretta Fuddy, killed after she "verified" Obama's phony birth

    Nancy Pelosi, Democrat criminal, accessory before and after the fact to improper vetting of Barry Soetoro aka Barack Hussein Obama, a confirmed
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    Obama ignored the brutal killing of an American diplomat in Benghazi, then relieved American military officers who attempted to prevent said murder
    in order to cover up his own ineptitude.

    Obama continues his muslim goal of disarming America while ObamaCare
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