Glimmers of positive news in new-crop markets

Somehow it’s already May, and we’re heading into a new growing season.

Chuck Penner, of Leftfield Commodity Research, joins RealAgriculture’s Lyndsey Smith to talk about what trends are going on in the markets. Penner explains there are some rather intriguing shifts.

“Some of the things that have really been on fire, some of smaller crops like rye and oats, are at the point where some of the buyers are starting to look towards the next crop, so we could see a bit of softening in prices. At some point, that market is really going to tip over hard,” he says.

Penner adds there may be a glimmer of hope for a market that some believed didn’t have much hope left — durum.

“Canadian exports have been on fire in recent weeks. We’ve really been moving out a lot of durum. Not into Europe of course, but a lot into North Africa. We’re starting to see some signs there. But this is looking far forward, and because we’ve got big supplies, the strength won’t start the show up until later down the road. But there is hope — it’s at that stage where it’s ready to turn higher.”

When it comes to looking at changing out canola acres, he adds there seems to be a pretty positive outlook across the board.

“The overwhelming thing that I keep hearing is ‘we’re gonna stick with the rotation, and hopefully by the time it comes to harvest or selling it sometime next winter, this will all be resolved’.”

To hear more about what Penner has to say about the markets, listen to the conversation between him and Smith, below.