Feature Article – Forward Contracting Agreements
The feature article this month begins our series into comparing contracting alternatives. In Forward Contracting Agreements, we discuss the characteristics of this type of contracting in the local cash market and the mechanics of how it works.
September Margin Watch Summaries
As we move into the harvest season, a lot of attention has focused on yields being reported and what that translates to for corn and soybean crop production. The USDA has also released some important reports this past month, including the Quarterly Hogs & Pigs and Small Grains summary that provided final ending stocks for the 2014-15 corn and soybean balance sheets. There has been quite a bit of volatility in the cattle and milk markets as well, and all of these factors have influenced the forward profit margins of crop, hog, beef and dairy producers. The latest installment of our Margin Watch reports detail how these and other developments have affected forward margins for these industries as we head into fall.