Corn was mixed; cotton and soybeans were up; and wheat was down for the week.
There is more risk this year, than typical years, for producers between now and when projected (spring) crop insurance prices are set. Many producers use crop insurance as the base for their risk management program. However, a concern for producers is the approximately three months between now and the end of the crop insurance price determination period (February 28 in Tennessee), during which producers will have no price protection unless they use market-based risk management strategies. Commodity prices have been strong but are showing signs of weakness or at the very least hesitancy before any potential upward move. Additionally, input prices have doubled or tripled compared to last year. Producers that are purchasing inputs before the year end, without pricing or setting a price floor on some of their anticipated 2022 production, have a tremendous amount of financial risk. As such, producers may want to consider mitigating some of the financial risk by establishing a price or price floor for some 2022 production. Continue reading at Tennessee Market Highlights.