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January 30, 2023
Grain Marketing Presentations
County Farm Bureau Annual Meeting
Oregon, Missouri
January … “Tight!” 2023 Global Corn, Other Grain & Oilseed Stocks
• … Moderating prices for Fertilizer & other Crop Inputs –
(but still …
April 10, 2023
Ag Law Issues
a
retirement account and other rules apply that specify … account owner turns 73. In other words, for account owners … taken by April 1, 2025.
Meeting RMD Requirements. The RMD …
April 30, 2024
Ag Law Issues
assets and finances, among other issues. Done properly, a … the children along with her other property. The 2003 will … restored. The attorney, after meeting with the
mother privately …
November 1, 2009
KFMA Newsletters
at a later
date.
To meet the labor demands of farms … those
decisions through other employees; therefore
these … authority does not extend into other areas of the
operation …
April 26, 2017
Risk Management Strategies
simple formula and it is based other formulas that determined … forfeit
their wheat will have meet minimum wheat quality standards … or better, not mixed with other classes of wheat, no heat …
December 12, 2018
Grain Market Outlook
1
Monitoring the Convergence Performance of CME Soybean Futures
Joe Janzen1
(jjanzen@ksu.edu) – K‐State Department of Agricultural Economics
December 2018
In agricultural commodity markets, convergence occurs when the commodity’s futures price equals the
cash or spot price at a delivery location and delivery period specified by the commodity exchange.
Perfect convergence occurs when the basis (equal to the cash price minus futures price) equals zero.
Not long ago, wheat futures markets had convergence failures where the cash price was well below
the futures price during the delivery period. Farmers were understandably frustrated by this weakness
in basis.
Following the harvest of the 2018 soybean crop, soybean farmers face similarly poor basis. As of mid‐
November 2018, cash soybean prices in Kansas were around $1.00/bu below nearby futures and basis
was $0.10‐0.40/bu lower than previous years. While this weak basis, it is an improvement over basis
conditions seen earlier in fall 2018. Low cash prices are in large part the result of weak export demand
related to the current trade conflict with China and relatively large US soybean crop. These two factors
led the USDA to forecast US soybean ending stocks to more than double in the 2018/19 marketing year
relative to 2017/18.
Why would non‐convergence occur?
Basis non‐convergence has tended to occur when supplies are abundant and farmers, merchants, and
other commodity trading firms would rather store grain than sell. Since large supplies and abundant
stocks currently exist in the US soybean market, we should be concerned about the potential for non‐
convergence in the soybean futures market. Weak basis in non‐delivery locations like Kansas may be
driven in part by poor convergence performance at delivery locations.
As we have learned from the wheat market, non‐convergence occurs because of the incentive to hold
the commodity in the form of shipping certificates rather than physical grain. These shipping
certificates are issued as part of the futures delivery process and charge certificate holders a fixed
storage ‘premium’ as long as they are held. (In the soybean futures market, the premium is
approximately $0.05/bu/month.) These fixed storage premiums can bid up the futures price relative to
the cash price under certain conditions.
1 Joseph Janzen is an assistant professor in the Department of Agricultural Economics, Kansas State University. His research
interests include grain marketing, commodity futures markets, and agricultural finance.
Kansas State University Department Of Agricultural Economics Extension Publication …
February 26, 2021
Ag Law Issues
species, crop
residue, and other dry plant growth for the … waste, structures, or any
other materials on any premises … open burning activities must meet certain …
April 11, 2022
Ag Law Issues
to sell his shares to
the other owners on the occurrence … corporation and then to the other owners on
the occurrence … triggering
event is something other than death, a cross-purchase …
March 18, 2024
Ag Law Issues
species, crop residue, and other dry plant growth for the … waste, structures, or any
other materials on any premises … open burning activities must meet certain …
Breakout Sessions
What about sweat equity?
– Other issues?
Life Insurance
• … issues discussed previously
Other Considerations
• Keep it … Economist
– Accountant
– Other Planning Professional
• …