Moe Agostino speaks at London Farm Show

Mar 04, 2015

Discussed where the markets are and where they could go

The London Farm Show is in full swing in London, Ontario’s Western Fair District as farmers come to learn about new products, trends and technologies, as well as to interact with the industry professionals responsible for making them available.

The 2015 show also features a variety of speakers including Moe Agostino, Chief Commodity Strategist for Farms.com who talked about current trends in the markets and where they could end up.

“How many people in here want to make money?” Agostino asked to a room full of farmers, who unanimously raised their hands in agreement.

Agostino touched on a variety of subjects including grain markets, crude oil prices and the Canadian dollar and also gave advice on how farmers can profit the most from their hard work.

“Call everybody,” he said when talking about selling grain. “Let them fight for your bushels. One phone call can be worth an extra 50 cents.”

When it comes to the grains, Agostino described the 2015 price targets.

For corn, the spring 2015 price could be around $4.50/bushel and by summer rise to $5.00/bushel. The fall however could see prices dip to around $2.85/bushel.

Soybeans in the spring may fetch $11.00/bushel and increase to $11.50/bushel in the summer. The price could fall back to $7.00/bushel by the fall.

Wheat prices in spring could be around $6.50/bushel and go up to $7.00/bushel by summer. In the fall it may drop to around $5.00/bushel.

Agostino mentioned to look out for the next WASDE report scheduled to come out March 10th.

The London Farm Show will wrap up March 6th. Other speakers include Andrew Campbell who talked about his use of social media to document his farming practices, the challenges and successes that come along with it.

Join the discussion and tell us if these possible grain prices are going to change your operation this planting season. Are you attending the London Farm Show? What are you taking away from it?

Video: Will the 2025 USDA December Crop Report Be a Market Mover/Surprise?

Historically, the USDA December crop report is a non-event or another dud report as the USDA reserves any final supply changes to the final report in January of the following year in this case 2026. But after the longest U.S. government shutdown in history at 43 days and no October crop report will they provide more data/surprise and make an exception?
Our China U.S. soybean purchase tracker is now at 26.6% or a total of 3.2 mmt but for traders it’s taking too long to unfold.
The final Stats Canada production report was bearish canola and wheat projection a record crop in both (it adds to the global glut of supplies) and bullish local corn and soybean prices in Ontario/Quebec thanks to a drought. It will not help the fund flow short-term, the USDA may need to offset it?
A U.S. Fed interest rate cut of another 25-basis point next Wednesday (probability 87.1%) could help fund flow and sentiment in stock and ag commodities into year end.
More inflows into Bitcoin this past week saw prices rebound back above 90,000 with support at 82,000 and resistance at 96,000.
A V-shaped bottom in cattle suggest the lows are in after Mexico reported another new world screwworm case. Lower weights, seasonal demand and higher U.S. beef select/choice values with a continued closure of the Mexican border to cattle will result in a resumption of higher cattle futures into yearend.
Australia is expected to produce its 3rd largest wheat crop ever at 36 mmt adding to the global glut of supplies.
Reports of ASF in hogs in Spain the largest pork exporter in Europe could see the U.S. win more pork export business long-term.
If the rains verify into next week of 3-5 inches for Brazil it would go a long way to fixing the dry regions from the last 2-months, but the European weather model has been wrong for the past 2-months!
Natural gas futures are surging to the 3rd price count as frigid hold temps set in.
CDN $ is also surging to end the week on a very resilient economy and better employment numbers suggesting no interest rate cuts next week.
Finally, the CFTC report showed funds were net buyers of soybeans but sellers of corn, canola and wheat. In real time the funds have gone back to selling as they take some profits.