Look for New Money to Flow into Ag Markets

Bearish USDA Report Baked In, Will Grains Rally Off their Lows?

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Angie Setzer, the Goddess of Grains and the vice president of grains at Citizens Elevator, joins Bubba to discuss the USDA report that came out on Tuesday. The report was expected to be bearish and it was, but Angie feels that the news is already priced in and the grains could rally from here.

Bubba agrees with Angie that the grains have made their lows and should start to work higher. Bubba and Angie discuss the overall landscape of the Agricultural markets and what to expect. What effect will the dollar have? Are traders waiting for the next USDA report?

Traders, farmers, and producers all fall into the same trap trying to chase the news. Bubba and Angie talk about the patterns, and why the news is not important. They both agree that the markets typically overreact to reports, causing sharp market reactions after the reports.

The meats seem to have found a bottom, and Angie looks for higher prices into the fourth quarter. Bubba and Angie agree that the markets look good and both expect new money to start to come into the alternative assets of grains and livestock.