Why should I watch prices?
When the 2025 wheat discovery price is finalized, that price times your guaranteed bushels will give you a guaranteed value on your crop. If you outproduce that value, great! If you underproduce due to lack of rain, hail, flood, etc., your insurance will compensate for the difference.
Keeping an eye on current prices can also allow you to contract a higher price for your grain by marketing ahead of time. Cash bids are most effective for this scenario, which are updated in another blog post- https://www.santafeag.com/post/current-crop-insurance-pricing
Definitions to help you understand:
Projected Price: The average daily settlement price from the July KCBT Futures contract during August 15 - September 14 sets the projected price for the upcoming crop year.
KCBT: Kansas City Board of Trade
HRW Wheat: Hard Red Winter Wheat
HRW Wheat Prices:
Aug 15 | $5.78 |
Aug 16 | $5.80 |
Aug 19 | $5.81 |
Aug 20 | $5.85 |
Aug 21 | $5.77 |
Aug 22 | $5.70 |
Aug 23 | $5.61 |
Aug 15-23 Average Price | $5.76 |
Aug 26 | $5.61 |
Aug 27 | $5.69 |
Aug 28 | $5.79 |
Aug 29 | $5.84 |
Aug 30 | $5.88 |
Aug 15-30 Average Price | $5.76 |
Sept 2 | Labor Day |
Sept 3 | $6.01 |
Sept 4 | $6.16 |
Sep 5 | $6.13 |
Sep 6 | $6.01 |
Aug 15-Sep 6 Average Price | $5.50 |
Sep 9 | $6.00 |
Sep 10 | $6.08 |
Sep 11 | $6.12 |
Sep 12 | $6.12 |
Sep 13 | $6.24 |
Final Discovery Price | $5.90 |
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