Tag: Third Street Ag

  • July 2021 Market Letter

    | | Agriculture

    Commentary provided by Chad Burlet of Third Street AG Investments Released: August 1st, 2021 We came into July on the heels of a huge price rally caused by the USDA’s June 30th acreage report. Their estimates for corn and soybean plantings were both more than a million acres below the average of the analysts’ estimates. Those rallies quickly faded, however, as both December Corn and November Soybeans recorded their monthly highs on July 1st. While corn and soybean futures both closed lower for the month, it would be misleading to say that the weather was good; “mixed” would be a more accurate … Read more July 2021 Market Letter
  • June 2021 Market Letter

    | | Agriculture

    Commentary provided by Chad Burlet of Third Street AG Investments Released: Wednesday, June 30, 2021 In our May Market Letter we wrote about the exceptional volatility in the agricultural futures markets. June showed us that May was just a warmup. In May corn had seen a 3.5% break and a 3.9% rally in a very short time frame, in mid-June it doubled those moves in a day and a half. However, it was soybean oil futures that were the true volatility champions. When the Supreme Court ruled in favor of petroleum refiners, soybean oil lost 6% of its value in five minutes … Read more June 2021 Market Letter
  • April 2021 Market Letter

    | | Agriculture

    Commentary provided by Chad Burlet of Third Street AG Investments April had the largest one month rally of corn futures ever. Considering the 162 year history of corn futures, that is no small milestone. May Corn futures rallied $1.75¾ (31.1%) this month. In the process the front month soybean/corn ratio moved from 2.55 to 2.12 and May Corn futures moved to 42 cents over May Kansas City Wheat futures. Corn was driven by the dual engines of Chinese imports and a Brazilian drought. Despite that record move, and a fifty cent rally in the May-July calendar spread, there was no evidence the … Read more April 2021 Market Letter
  • Incredible Velocity Movement Between KC Wheat and Chicago Corn

    | | Agriculture

    Commentary provided by Chad Burlet of Third Street AG Investments As always, the month of March and the first quarter ended with the USDA’s release of their March 1 stocks report and their spring planting intentions report. These reports often have the potential to dramatically disrupt conventional wisdom and today’s report did not disappoint. For the past several years the stocks numbers have provided the biggest surprise, but today it was the acreage estimates that rocked the market. Both corn and soybeans came in well below the average of the analysts’ estimates. An overwhelming majority expected the two major row crops to … Read more Incredible Velocity Movement Between KC Wheat and Chicago Corn
  • February 2021 Grain Market Commentary

    | | Agriculture

    Commentary provided by Chad Burlet of Third Street AG Investments With only one trading day left in February, it’s clear that the spring acreage fight has captured the market’s attention. While old crop corn and soybeans struggled near highs that were set weeks ago, November soybeans and December corn raced to new contract highs yesterday. Through today’s close December corn has gained 21 cents on March corn and November soybeans have gained 52 cents on March soybeans.  On February 18-19 the USDA held its annual Agricultural Outlook Forum. This event always provides the USDA’s first look at the supply and demand … Read more February 2021 Grain Market Commentary