"Beans In The Teens" Are Here My Friend!

On Tuesday, January 8, for the first time in recorded history, I finally got my long-predicted "BEANS IN THE TEENS" when the July 2008 contract moved past $13-a-bushel early in the session.

With "no margin for error" this 2008 crop season, if anything goes wrong, weatherwise or otherwise, we could easily see $15 soybeans. Who knows? These are "unprecedented times."

We likewise saw July 2008 and all of the 2009 contracts surpass the magic $5-a-bushel mark on "Turnaround Tuesday." Next stop, $5.20-a-bushel corn?

Soybean meal, as I predicted many months ago, hit $360-plus-a-ton. It’s quite possible that we will eventually see $400-plus-a-ton soymeal. Soybean oil could reach 60 cents-a-pound.

Oats have already surpassed my predicted $3.30-a-bushel target. It’s likely that $3.50-a-bushel will be hit by later this month into early February.

The wheat markets have each topped $10-a-bushel in recent months. I still believe that July 2008 wheat in Chicago, however, is UNDER-PRICED when it falls below $8-a-bushel.

Despite the higher acreage this season of all types of winter wheat, we don’t have enough WEATHER PREMIUM built into the market.

There’s at least a 50/50 chance of another KILLER FREEZE, like in 2007, developing in the "heart" of the Winter Wheat Belt in Kansas, and possibly, Oklahoma, north-central Texas, Arkansas and the southeastern Corn Belt states this early April. Stay tuned.