School will be starting next week for our area students.  High School football games start in two weeks.  The 2010 harvest season is right around the corner.   

I read this morning Volatility is here to stay with regards to the grain markets.   We are now transitioning from a supply lead bull market (decline in Russian Wheat) to a demand led bull market (U.S. with the only significant supply of feedgrains).  U.S. feedgrain demand in general should continue to be robust and lead the bull move.  The U.S. economy and Dow Jones could be the drag on the market.  It looks like the battle for acres will continue.  With the August USDA report behind us we look forward to this fall harvest.  Will the US produce another record corn and soybean crop?  How much damage has the excess rain affected yields?  As I drive around there aren’t too many soybean fields which haven’t been affected by sudden death.  These brown areas are getting larger each day.  As early as our corn got planted, and an almost perfect growing season, we can only hope the corn quality will be much improved over last year.        

Corn basis for September and months forward widened about a nickel late last week.  The processor’s push for nearby beans has gone away.  With the run up on the board bean basis has backed off about 45 cents since August the 6^th.  The recent trend has been higher and would expect prices continue this direction in the short term.  The people with the money will dictate price direction.  We also have to keep an eye on the wheat crop and weather in Russia.

Meriwether Wilson will start our audit next Wednesday August the 18^th.  We’ll send out an annual meeting reminder in a couple of weeks.    

I’ll be working on 2010 Harvest Policy over the next two weeks.  We’ll get it posted on the web page and have copy’s here at the elevator for your review.  As of now I don’t see storage rates changing and drying rates may be lowered.

No news from Aspro about fixing the road.  Since we haven’t had many days of dry weather it hasn’t surprised me that they haven’t called.  Hopefully the weather will straighten up and they can get to it before harvest.  

Have a great weekend and attend a church service of your choice.