2019 APC Weekly Pricings  |   Historical Data  |   Basis Graphs  |   Average Price Graphs


Basis Graphs  03/14/19 1:28:44 PM

The graph above shows how the basis changes from January through the end of October for New Crop October delivery Corn based off of the December Futures into one of our DGS elevator locations.
To the right of the graph, shows the average basis during our Average Price Contract program using the Futures that were set during the APC pricing period. For comparison, below that shows the average December Futures during harvest with the average basis during harvest to give you an average spot price.
For Example: In 2016, the APC December Futures were set at $3.89. The average basis during the 20 week pricing period was a -.39 against the December futures for October delivery, which gives you a October cash contract of $3.50. During harvest, the December Futures averaged $3.49 and the spot basis averaged -.38 which gives you an average spot price of during the 2016 harvest of $3.11. On average, the APC earned 39 cents per bushels MORE than the bushels that were spotted across the scales!
This shows by enrolling in the Average Price Contract program, or by Forward Pricing bushels (HTA, Basis, or Cash), marketing your grain prior to harvest is more profitable than spot pricing across the scales.


The graph above shows how the basis changes from January through the end of November for New Crop October delivery, for December 1st payment, based off of the December Futures into one of our DGS elevator locations. 
To the right of the graph, shows the average basis during our Average Price Contract program using the Futures that were set during the APC pricing period. For comparison, below that shows the average December Futures during harvest with the average December contract basis during harvest-time to give you an average spot price.
For Example: In 2018, the APC December Futures were set at $3.91. The average basis during the 20 week pricing period was a -.24 against the December futures for October delivery, but paying storage until December 1st and taking December payment, which gives you a December cash contract of $3.67. During harvest, the December Futures averaged $3.68 and the December Contract basis averaged -.22 which gives you an average December contract price during the 2018 harvest of $3.46. On average, the APC earned 21 cents per bushels MORE than the bushels that were stored and contracted for December payment across the scales!
This shows by enrolling in the Average Price Contract program, or by Forward Pricing bushels (HTA, Basis, or Cash), marketing your grain prior to harvest is more profitable than contracting it for Decmber payment across the scales.


The graph above shows how the basis changes from January through the end of October for New Crop October delivery based off of the November Futures into one of our DGS elevator locations. 
To the right of the graph, shows the average basis during our Average Price Contract program using the Futures that were set during the APC pricing period. For comparison, below that shows the average November Futures during harvest with the average spot basis during harvest-time to give you an average spot price.
For Example: In 2018, the APC November Futures were set at $9.37. The average basis during the 20 week pricing period was a -.54 against the November futures for October delivery, which gives you a October cash contract of $8.83. During harvest, the November Futures averaged $8.59 and the spot basis averaged -.67 which gives you an average spot price of during the 2018 harvest of $7.92. On average, the APC earned 91 cents per bushels MORE than the bushels that were spotted across the scales!

As you can see in 2017, the APC did not work when setting the futures compared to the average harvest delivery against the November Futures, but by averaging these 3 years together, the APC  Futures averaged $9.74 and the average harvest delivery November Futures averaged $8.81. Thats an average difference of 93 cents profit over 3 years by enrolling in the APC compared to spotting soybeans across the scales! This also goes to show that this program will not work EVERY year, because sometimes there will be a year that this program does not work, but 9 out of 10 years, it will and on average you will be better off enrolling rather than spotting!

 



2017 Crop Year Basis Graphs

This graph shows the Elev Cash Basis for immediate delivery against the respective Futures Month for Corn 2016 crop(starting September 1, 2017-August 31, 2018)


This graph shows the Elev Cash Basis for immediate delivery against the respective Futures Month for Soybeans 2016 crop (September 1 2017-August 31, 2018).

2016 Crop Year Basis Graphs
 
  Sept           Oct            Nov               Dec           Jan             Feb                   Mar                    Apr                   May                  Jun                    Jul                Aug 
    
This graph shows the Elev Cash Basis for immediate delivery against the respective Futures Month for Corn 2016 crop(starting September 1, 2016-August 31, 2017)

                                    Sept              Oct                     Nov               Dec                 Jan               Feb              Mar             Apr                May          Jun                   Jul                 Aug   
                

This graph shows the Elev Cash Basis for immediate delivery against the respective Futures Month for Soybeans 2016 crop (September 1 2016-August 31, 2017).

2015 Crop Year Basis Graphs

  Sept           Oct            Nov             Dec           Jan             Feb                     Mar                    Apr                      May                  Jun                      Jul                Aug       
         

This graph shows the Elev Cash Basis for immediate delivery against the respective Futures Month for Corn 2015 crop(starting September 1, 2015-August 31, 2016)

 Sept              Oct                       Nov               Dec                       Jan               Feb                     Mar             Apr                  May          Jun                   Jul                 Aug   

This graph shows the Elev Cash Basis for immediate delivery against the respective Futures Month for Soybeans 2015 crop (September 1 2015-August 31, 2016).
 
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