Protecting the LAST 70% & Why our Merchant Friends LOVE rallies!

[00:00:00] Speaker A: What a week in crop marketing for prairie farmers. We saw a market spike after the USDA report on Tuesday. I want to talk about how grain companies handle these rallies. How did they handle these spikes? Why the heck is it $0.50 difference between companies? We'll get into that and so much more. Episode 122 coming at you right now. Hey, folks, welcome to the what the Futures podcast, your quick guide to better farming decisions. All right, folks, welcome into episode 122. That's what we're going to score it. I think it's 122 for this week, of course, recorded each and every week in the UPL studio. And when we think of a great product like Wave, like, we, we know that Wave is easy to use. We know that it tank mixes with just a bunch of different stuff. Right, right. It's a bio stimulant. We know all that. But what we don't think about when we hear about the product Wave is its nitrogen use efficiency. UPL has conducted work at the molecular level and field level to validate that WAVE can increase nitrogen use efficiency in multiple crops. Fertilizer has been a huge topic the last number of months. And hey, why don't you learn a little bit more by contacting your retail or your local UPL rep? All right, folks, I wrestle, I wrestle with. You're in the tractor cab right now. You're busy going back and forth. You know, should I put together these long, multiple hour episodes? Like, is that what you're looking for? Are you looking for, you know, the speakers in the cab to be filled with, with more content? And I decided for this week, we're going to keep it short and sweet. It's just me. And we're going to keep it short and sweet to nitty gritty crop marketing. That's what we're going to focus on this week because we can bring in the phenomenal guests and talk about, you know, what's influencing markets, so on and so forth. But for right now, what I want to, you know, zoom in on or focus on is execution. Like, how do you execute when the market spikes like it has this week? How do you execute? What strategies are you considering what is happening in Western Canada as well, from a price perspective? And I want to do a little bit of math with you in this episode. It's not going to be hard. I'm going to, I'm going to hit the multiply button and the divide button for you. But just some interesting things that you need to kind of take note of. I Don't want to call it highway robbery out there, but when a market spikes, when the wheat price spikes, when the canola price spikes, the merchandising groups in Western Canada, and this isn't just western Canada, but they scramble a bit. They go to the side of caution and margin and money. Merchandising groups in Western Canada, they love a good rally. They love it. You might sit here and say, what are you talking about, Ryan? They don't. They want to buy it as cheap as they can. Not really. They're focused in on basis what the futures do. Yeah, yeah, yeah, like, but they don't like depressed markets. If they have depressed markets like they've had the last couple of years, margins get really skinny because you as a farmer, you dig your heels in and you say, well, I'm not going to release this wheat to you at $7 a bushel. I need 715. Gosh darn it, you know. And so what happens is the margins get squeezed, but in a rally, everybody gets a little bit drunk with excitement in a rally. And then what you don't realize is, is that they are also excited and they're taking a little bit of extra margin and a little bit of cautious protection in basis while the market spikes. We're seeing great examples of it this week. We're going to math it out here in just, you know, later on in this episode. I'm going to keep it short and sweet, guys. Maybe a cup of coffee is influencing me here the Tuesday show, but we're trying to keep it to, you know, 20 to 30 minutes, but there's some interesting things happening. I want to talk about it and how you can approach it. So this episode is more about action, more about your preparedness for the next few weeks here, you know, as I record, I'm recording late this week. It's Thursday morning again, a heck of an exciting week, but we've got spring wheat down a dime. We've got Kansas city wheat down 17 cents right now. Actually, I had some fun with KC wheat this week, so got a little bit lucky on, on that one. We've got the corn Market currently down 11 cents this morning. TRUMP and G are meeting. Soybeans are down 30 cents again. By the time you listen to this, it will be different, but we got some risk off trade. Canola down about six bucks a ton here as I'm hitting the record button. So, yeah, we've got a little bit of a risk off trade. So how are you approaching these spikes? What tools are you implementing? What Strategies are you looking at? That's what we're gonna do. Dive into a bit more in this episode. Now, of course, you can stay up to date by subscribing to the YouTube channel or your favorite podcast platform. Now, if you need a little more from me, on Fridays, I send out an email. You can sign up for that at Ryanden Ca. And in there, I'm going to put a funny meme. Usually not always offensive, but sometimes I put a meme in there, put in some advice, and for this week, I might even put in just a strategy for you, just something for you to noodle on, to consider and to think about. I think this time of year, you just can't get enough of working through strategies and ideas and penciling it out. I don't know where the market peaks are. Right. I made some recommendations with the lunchbox. Screw this week. You know, I said, it's not that we're. We're not turning bearish by any means here. Like, we're not sitting here and saying, oh, my goodness, I think this thing's falling apart. Knock on wood. But yet we're staring profitability, you know, in the face. And, you know, I was doing some math this morning for the farm, and just this week alone, our wheat revenue climbed by 240 grand. That's meaningful dollars. Our canola is currently about 250 grand above our budgeted price. You know, and you put those two together. Half a million bucks, 500. 500 grand? Like, what. What payments could I make with the 500 grand? My financial situation, not just mine. Your financial situation on the farm has improved this week. How important is that to you? If you're a farm that you're like, I don't really care. I'm not selling anything till the fall or till next spring anyway. You could skip most of this episode. This one's for the farms that are sitting there saying, man, my financial situation has improved drastically the last number of weeks. How can I harness this? How can I control my destiny? And I'll get it all the time. Oh, my goodness, Ryan. Like, forward contract in grain is insane. I've got the numbers, you know, quote, unquote, to. To back up, you know, by holding my grain. I'm. I'm further off. That may be your experience, but that has not been my experience the last 15 years. My experience the last 15 years has been that when you get these market rallies in the spring, you need to take advantage of them as best you can. You need to get a lot of as much work From a crop marketing perspective, that you can get done, like, as much as you can do. Now, the drought of 21 changed that for a lot of farms, which is unfortunate because there's a lot of good marketing that happens during this time of year. And the reason that I say that, you know my experience, you know, by binning the grain at harvest time, and it's your farm, your business, you're highly successful. You do you the. But I find that many farms that I chat with, especially as things lean up, they need to have grain gone by certain dates. And those dates do not represent the spring of 2027. So what that does then is that limits my marketing window from harvest to the end of March. And we all know that that traditionally is not a lot of fun. A lot of fun. Not a lot of unknowns in the northern hemisphere for the crop. And often we'll get appreciate prices. To appreciate it can be a struggle. All right, so our example this week is that, you know, we. And I didn't even throw barley, and I can't throw green peas in the mix right now, but it's improved if it's 400 grand, 450 grand, 500 grand, whatever it is. So I asked the guys, how important is this to you? How important is this number to you? And the weird thing is that if you take, you know, if I look at the numbers from a couple months ago, and I believe if you go up, look at past episodes, it's recorded there somewhere. But we were right around like a zero. Like, so we had Canola margin, and then we had negative margin on the other crops. And it was, if, you know, if we do okay on the Canola, everything else will balance out. Every payment will be made. Everyone will. Will have groceries, and you know what, maybe even a little vacation time if it works out, it's fine. It's a zero scenario, and it's fine. But now the number I was looking at yesterday in harvest profit was like 400 and some thousand bucks of profit. Right? So how important is it? I asked the guys, how important is that number to you? And do you want to protect that? Because you can protect that, that number, not put yourself in a bio situation. Right? So let's. We'll talk about that more in a little bit. And again, folks, I don't want to be the guy I hate being the guy I like. I'm referencing our farm just because it's a real example. I'm not here to say you should. You need to be like us or you need to do like, like if you want to, then you can participate in our mistakes as well. And all the, all the stuff that goes wrong, I'm just trying to share like real as real of an example that I live and breathe every single day. I'm not trying to be the our farm does this, blah, blah, blah. All right, so hopefully that comes across in the messaging as best they can. Now I got to give a little shout out here, a couple of shout outs. But Margaret J. Wyatt, Brendan, they, they know, they know what I'm talking about here. But I've been leaving some little Easter eggs. I think they call it Easter eggs. Like little at the end of the show. Just little perks for what the future's listeners. We had a UPL one a couple weeks ago. That one's done now. We had people take action on that. I, I know one farm just made a phone call saved made himself a thousand bucks by listening to what the Futures podcast. So that was great. So that was done. We had that. But we also have been plugging some other things at the end of the show and yeah, Margaret J. Wyatt, Brennan, you guys know what's going on. Anyway, I appreciate those that do hang out to the very end in my long winded episodes. All right. Also we've got. I wanted to pull it up myself, but the great team behind me will do it. But I want to just announce here like we finalized the design. So Quinn, Quinn Fletcher. She was our winning hat design for Egg in Motion partnership with UPL and the ccaw. Fantastic design. And then we take that inspiration, we get it into a hat form right. We get it into, into a final product and we did that this week. We got that done. So we'll flash that on the scre and you'll see it on our social media posts here shortly. But phenomenal job by Quinn and hope to get maybe Quinn or her family on the show here sometime after seeding because the, the Fletcher farm is, is giving her out there. They were putting planting wheat yesterday when I chatted with them, but just a phenomenal design. Super excited about this hat. Lots of color, very bright and just great messaging as well. So looking forward to for you guys to see. See that. Okay, positive moments for this week. You know, our farm 10 days later than we'd like for, for a start date on on seeding. But we're out there scratching of course. Weather not helping lately here. Raining outside my place. So again we wish for the dry areas. I saw the dust storms this week. We wish you get the rains right. Get some Rain and let's fix that. And then also the guys that are in the mud get the heat over there. We'll just switch for a little while, and everyone will be happy. But the farm is getting the kinks out, getting after it, and looking forward to a big push here. Number two, farm profitability went up this week. I can't stress that enough, guys, like, every. Every farm's in a different situation. Don't get me wrong, our cost of productions, there's a range here. I'm not saying that every farm has gone from red to black this week. I hope you have. I hope you have. I hope you were in the black before and this just added to it. But. But this is an important time to check your farm profitability. Did you go from red to black? And how important is that to you? All right, last one. No Oilers playoffs. So I'm getting stuff done around the yard. I'm getting my projects done. I'm feeling a little ahead of normal because I'm not sitting in front of the TV or at the stadium watching the games that aren't happening. But, yeah, it's been nice to do that. And then also a very happy belated Mother's Day. I forgot to mention that last week, we had a nice time here at our place. Did a lot of cooking on the weekend, tried to help Chantel out as. As much as we could get her feet up. Reading a book and relaxing, and. And we accomplished that. So happy belated mother state as well. All right, guys, let's talk markets. Now, we did have Alison Thompson with the Money Farm on cup of coffee this week, and Allison just. She just knows so, so much. She talks about so many different commodities, so many different things. But her optimism on wheat heading into the USDA report, we recorded a couple hours before the report hit, and a farm asked, hey, Ryan, did I miss the wheat rally? You know, what should I do? And so I messaged him like, hey, dude, just, you know, you're okay. Relax. Here's a target level I would suggest. And he's like, my buyer's gonna laugh at me if I. If I put that in. I'm like, that's okay. You know, let them laugh. And that target was $0.75 higher than the posted bid and, in fact, triggered later that day. So, anyways, let's throw a little clip here of Alison's optimism heading into that USDA report. Behind that, we're just gonna talk about some markets. What's your thoughts around the wheat market? [00:14:35] Speaker B: You know, wheat. Wheat is wheat market to Be honest with you. But we've seen a lot of markets go to extremes here just in the last year. You know, it's not necessarily in grains, but we've seen some soft commodities, even hard commodities. Gold, silver. And wheat's another one that can definitely go to extremes. You know, when we were dealing with wheat rallying a couple years ago, it can go a dollar or more very fast. So yes, we've rallied a dollar off those, you know, early year December lows. A buck is a buck. It's a great move. Can it go higher at this point in the year? It's hard to say whether that'll happen or not. But, you know, there's a lot of risk here in the market. Markets love risk. Wheat likes risk. We also have inflation stuff going on. So I think we could continue to run, to be honest with you. I, I, I really like Outlook. The funds are behind it. There's a, there's a lot of things moving in wheat right now where I could see it go to an extreme again. [00:15:40] Speaker A: All righty. Cup of coffee shows just a good time. So I look forward to next week's after the, the long weekend here. Now, when it comes to markets, I wanted to just talk about how farms traditionally, in my experience approach or come out of the spikes, come out of the market highs. And then I want to do some math here, just comparing just the absolute insanity of how different prices are. All right, I'm actually, I'm going to do a live and do a live example here. I'm going to use Patterson and Days Land. I'm going to, I'll be able to pull up Bungie and kill him. And we're just going to go head to head here in just a second. All right, now when I look back at the highlight reel of my crop marketing decisions, like when I work one on one with a farm, you build that relationship with the farm. You know the tendencies, you know the goals, you know, you know the execution of the plan. And so I look back at my highlight reel and if I were to catalog this from the last 15 years, some of the conversation, some of the, you know, I'll run into someone I haven't seen for a while or we'll start reminiscing about certain things, certain sales, and it's always, always, always comes back to May, June and July. There's the odd one where it'll be like right before the yellow pea market crashes at harvest time, like a couple of those type of sales, you know, like there, there'll be some of Those that come in, I'll go back and farms will be like, remember in the spring when we sold the crop for the next fall? Do you remember that? And when I was delivering, that was a buck 20, a bushel difference or whatever it was. Like, those are the ones that come up regularly. Or, hey, I thought I was down and out. I had sold, you know, weed at a low price. And then we looked at this strategy and we gained 75 cents on it. Like, that was awesome. Like, it's this time of year where, where that comes up, right? And so you want to harness that. Like, what tends to happen is that we, we get into the spring, the first thing that that happens is you, you. Everybody has a comfort level on what they're willing to sell. It might be 0 bushels per acre or 0%. It might be 5%. Could be 10, 15, 20, 30, whatever it is. Some farms may be comfortable going up to 50% sold. There's a few of you out there that'll get more aggressive than that. But what I would say is people get their first sales on early in the year, early in the rally. So, like, if you think about today's example. So I'm gonna. Let's go real world here. So $8 wheat, I don't know in Alberta, I don't know of much that would have been done before that. Maybe the odd outlier. But $8 wheat, and then maybe an eight and a quarter, and then maybe you had like an 8.40. That, that, that's actually. I know a situation like exactly like this, right? So then you're sitting there and maybe that. Maybe that was 10% each and you're 30% sold. You're planting right now. You're slightly delayed. If you're not delayed, then this is easier. But you're maybe you're slightly delayed and you've reached your comfort level. So farms stop and then they get a little bit frustrated, which is totally normal and totally fine to be frustrated because, you know, in this area, the price of wheat has hit. I'm not gonna say nine. I'm gonna say 880. I didn't see a nine. Well, yeah, I guess I could use Patterson, because that would have been over a nine. We'll just say in. In 880. So you sit there at 880 and you say, well, geez, like, I'm not really comfortable. I've made it to my max percent sold here. I made it to my comfort level. I'm a little bit delayed. You know, what do I do? And so you may do a very small sale at 880 and you may just sit there and do nothing. Normally, that's what happens. I don't know. And when you don't know, the market also doesn't know. And that's when prices can. Can find their peak, when there's the most chaos and uncertainty. Even this week with the USDA report lowering bushels, that was a huge surprise. Obviously, the market was surprised as well because it climbed 45 cents. It was limit up on Kansas weed. So you have these spikes in the market. You have these surprises. Right? I lost my train of thought. Do you have these surprises that happen anyway, Augustine, I just got to circle back here on this one. 848.80. Okay, so when there's the most unknowns, and like we saw this week with the USDA report, there was that market caught offside. I was caught offside as well. I sat there and was like, I hope that they acknowledge abandonment, you know, abandoned acres and less yield. But it wouldn't surprise me if they don't quite have it dialed in yet. Well, they did have it dialed in. Right. And we saw the market shoot up with all those unknowns. So while everyone's confused about what's going on with the growing season, that's when markets tend to find their peak. Now, getting those first couple sales on, you're disciplined in your approach. You're saying, okay, you know, eight bucks, that's getting close to paying the bills, whatever it is. I'm going to sell a little bit of that. I'm going to scale in. In this rally. I'm going to do a little bit more at a higher price, so on and so forth. That's great. That's phenomenal. That's totally how it should be done. But now, the important part here is that when you get these big market moves, it's not to sit there and look back and say, oh, why the heck did I do that? Darn it. You can for a little bit. But it's Also, I've got 70% left to sell. How can I protect that? How can I secure 70% at these higher values and not subject myself to a buyout? Everybody wants an act of God contract on canola and on wheat. And there is one on canola out there available or there has been first again for these first bushels. Right. Like an act of God contract. I'll go on a little tangent here, but the act of God contract's on the bushels that you don't. You're not concerned about, you know, someone offered me a 20 bushel per acre act of God contract on feed barley. And I said, do you really think I'm worried about those first 20 bushels? Like, okay, stuff happens, like 20, 21. But am I really that concerned? No, I want the top 20. Can you. Let's take the 20. But I'm going to put it at the top from 80 to 100 bushels an acre. That's the act of God I want. All right. You good with that? No, darn it. All right. Like, anyways, so it's at 70%. So what normally happens is that you feel handcuffed. Feel handcuffed, you can't move, prices are climbing. You might do a little bit more, but your smallest sales are at your highest price. Should be the opposite. Like, this is when you should be figuring out how to, how to floor this thing, how to put the, the gas pedal down, right? But the opposite happens. And so you know, this is going to be an eating your veggies a little bit later. But this is, this is the puzzle. This is what you need or should spend your time and energy solving. And to top it all off, you're working the longest hours of your year under pressure of weather and you got a million things going on. And then you got a yahoo like me saying, and by the way, I want you to figure out how to capture and navigate the rest of your, of your crop, the rest of your, of your bushels. Selling the first whatever to your comfort level. That's the easy part. The hard part here is figuring out how important this rally is to your farm. How these numbers have changed over the last couple of weeks or even the last few months and how important that is to you. What do you want to do about it? Right? What do you want to do about wheat climbing? Like on our farm, wheat's climbed a buck a bushel here over the last week or so. How important is that to our farm? Well, it takes us from a loss to, you know, a break even or close to it. So how now can we navigate that last percentage? How can we secure that floor? And, and you know, I, this was said kind of tongue in cheek here the other day, and you're not going to be able to set it up in time. But not many farms have a hedge account. Very few do. These are the days the, this is the time where your hedge account comes in. You don't have to put in a whole pile of money to protect your bushels. You can look at strategies that secure your floor secure that 70% in this example, at this 880 price, you can do that and you could do it with a line company as well. But we'll talk about that here a little bit later on. All right folks, now we'll switch gears here. I want to. Let's pull up our Bungie account. We're going to do some real math here. And so the easy part, we're just going to grab the price number 113 5. We're going to use October. This is Killam, Alberta in Daysland, Alberta. They're a 20 minute drive apart. Okay. And I hope they got a special on, oh, feed barley special. What's the feed barley price while we're here? Might as well take a peek, guys. Ah, 560. Don't get me wrong, it's a fine price, but it was 5.75. All right, so number, let's do number 113 5. We got to go apples to apples here. All right, 8.46 a bushel. Not bad, right? Perfect. Now we're going to go over to Patterson Days Land and we're just going to take a peek. Now I'm going to grab the spring wheat quote here. So we're going to use December, October delivery, December futures. So futures are 7:48. Now we want to convert that to Canadian dollars. And that is going to come in at, in the garage. So it's a little slow here. We've got a 1.37 to 1.372. All right, so 748 Daysland Patterson. Here you go. 748 times a buck. It's going to be 1026 a bushel. Now that's futures and currency. All right, this is for a113.5 October delivery. And that's just futures and currency. You're going to say, well, Ryan, what's the basis? So the basis at Patterson is always a negative. All right, it's always a negative. Sorry, I shouldn't say that. It's not always a negative, but it 95% of the time it's a negative. It's freight, it's elevation, it's a negative number. We have to subtract off this. So if this was last year, I would subtract 75 cents a bushel. I went through the past, some research, some numbers, reviewed what I'd be comfortable with. It's been as good as like 30 cents, but I would say 75 cents. But this is not last year. Right. So if it was last, if it was 75 cents, that would be 950. That's a full $5 difference. But this isn't last year. So I reached out to my rep and I said, you know what, I kind of want to budget like a buck. Like what do you think? And she said, you know what, Ryan? Let's budget a buck 25. Let's budget a buck 25. She's like, I feel okay about a buck 25. We don't know what basis is going to be yet. We just know that today's basis has protection in it in that it's not, it's not a true representation of what could be right with less weed acres and so on and so forth. So using my conservative budget, that gets me down of $1.25. That gets me down to 9, 081. These elevators are 20 minutes apart down the highway. We're talking about what, 56 cents a bushel. Some 55 cents a bushel. So you're going to say, okay, Ryan, and that, that could be a buck a bushel, right? That could be a buck. That's my example there. Now you're going to say, well Ryan, that's a one off. Now if you have a Patterson daysland within like a two hour radius of you. Patterson, not a daysland. Patterson. This is just a really good exercise for you to go and do some pulse checking on your price because you can travel a long way, maybe less with the price of fuel, but you can go a long way. Right? So you're gonna say, well Ryan, that's a one off. Okay, well let's go to the farm. Let's go to Aberdeen, Saskatchewan. So we're a 45 minute drive to Aberdeen. We're an hour and five minutes to Melfort, something like that. 875, number 1135 for the fall. 875, that is P&H. G3. I'm going to give them a benefit on this one. The number is actually $8, but I believe 825 is an example. And when I bugged them over at G3, I said, what gives? And they're like, ah, Aberdeen's phrase is so much better than, than ours in Milford. And that's true. But does everybody know that? Right, that's 50 cents. That's a 50 cent. I think it's more than that, but I'm gonna use 50 cents there too. So all I'm trying to say here guys is you gotta math it out a little bit right now because what happens is the market spikes and the merchants they're panicking, right? And so they're doing their best to manage their risk. And they're also excited cause they're getting more profit. And you know, some. It looks like some companies are doing this a little differently than others, but there's price discrepancy out there. Like, man, if I could get 950 wheat in Daysland, Alberta, and if Melfort was at $8 a buck 50 a bushel, 2,500 bucks a load. Not going to work. But it's not far. It ain't far from working, guys. You could toss that on a truck and head her west. So anyways, I should do some real math on that and see what that, what that break even number is. But anyway, I will digress. You guys do some math out there though, and help. Let's, let's get this figured out. All right? That's just a little bit of, you know, what happens in these, in these rallies. All right. I. I do want to thank John Deere for their support of the show. Well, seating season already takes everything you've got mentally. So the last thing you need is trying to remember what you sold, you know, what your margins look like, what you sold, what you didn't sell, and at what price. It's hard to think about all that, right? So when all that information sitting in harvest profit, all you have to do is take a, take a look, take a peek. It frees up space for you to focus on the job in front of you, and it keeps you organized during these rallies. This is when this stuff matters, guys, is when markets spike and you're organized and ready to rock and roll. Okay, now a little strategy talk here for today, of course. Prices, Specialty crop prices. I. I'm. I'm just. I don't have a section on it this week, but I'm staying very patient. You know, I'm not forcing a yellow pea sale at these values. I'm really not forcing any pulse sales. I've dabbled on some red lentils the last couple weeks or so, but staying pretty patient in, in that basket, maybe flax, you could be a bit more aggressive. I have been selling feed, barley, staying patient on the pulses and some of the specialty crops. Right now, just strategy talk again. If you don't care about this rally and you're just gonna sell it next spring, just skip ahead. What I'd like to talk about here is a couple things for you to look at. Just some real examples from this week. Okay, We've got. You want to sell. So we Talked about that 70% the farm wasn't comfortable selling, you know, a few a while ago now in the episode. But you know, how can you sell the 70% with, without, with minimizing your buyout risk? Well, the first thing you can do is you could, you can, you gotta decide like do you want to secure a floor and leave your upside open or do you want to maybe reduce your buyout risk. Yeah, maybe they're the same, but maybe they're different strategy wise. But you could look at things like, okay, like for example, we're staring down $9 CPS over here in Central Alberta. Just wait till I tell you the price for 20. 27, fall of 20 or winter of 27 and fall of 27. I want that nine, right? I want that nine. How can I, how can I secure that nine? Well, you could look at just a put option, right? And of course I'm not, I'm not a, a licensed broker. Reach out to the professionals out there to work through this or your line companies have these available as well. But how can I secure this? We could look at a put option, right? Look at a put. A put option is the right but not the obligation to sell at that strike. So you're sitting there saying, well, I like that price, but I'm worried about a buyout. Well, you can say I'm going to pay for this put option. I'm going to buy the flexibility and secure floor. But if the market is higher, well, I'm not going to exercise the option. Then this is maybe gets a little bit too technical. But you're just gonna sell cash at that higher price, you've secured a floor. If the market goes up, you sell cash, you participate in that rally, the market drops, you say, hey, I bought that put, I'm gonna exercise my right now to sell at that strike. And yeah, it tops up your sale to near that level. All right. Now the other thing that happened this week is, and I know most of you don't have brokerage accounts, so we're not gonna go through this for very much longer. But I wanna sell the $9 wheat. So what we did, we sold the $9 wheat and then we took 24 cents a bushel. Didn't have to be 24. It could have been 20, could have been 15. But we took 24 cents a bushel. That got us down to 8.74. And we said we would like a dollar of upside, please. And so we did a strategy where we got the floor of 8.74. And then if the market Rallies up to a buck. We're gonna turn this from 874 into 9.74 and participate in that upside. If the market goes down to 750, we got 874. Or, sorry, 876. Gotta do my right math here, 876. So there's lots of different things out there, guys, to consider. There's the no price established put option over at Cargill for both wheat and canola. There's averaging contracts out there. You could sell in this rally. You can sell. You could say, hey, I want to sell a little bit every day for the next 30 days. I'm not talking about a little bit being 40 tons. Talking about a fraction of a ton. It could be, right? Like, it could be small amounts. But you can say, hey, I like these next 30 days. I want to sell a little bit and have that average price in this window. It's a boring contract, but, man, are they fun. At the end of the year when you say, remember that averaging thing we did for a month or two? Look at that compared to the fall price, it can be a lot of fun. And also it participates. So you could be like, hey, it's the middle of May. I don't know what's going on with my crop. I'd like to average this out until mid July. And then that way, if I'm in a drought and the market's rallying, I'm participating. Not dollar for dollar, but I'm participating. And you might sit there and say, oh, man, it's the end of June. My crop looks phenomenal. I'm just going to stop this averaging contract. I'm going to hit that button. It's going to price the rest of my days at this value, and it's over. The crop looks good. The prices are dropping. I don't need to participate in the drop. I'm just going to finish it and price it out. That's three things, guys. Four things we just talked about for strategy. All right? All right, folks, eating your veggies this week, of course, last week. Helpful tractor cab math, right? That came in handy for this week. You could add to those numbers. I like number one, pricing some new crop. Feed barley and wheat, knock on wood. But I don't think you can hurt yourself selling at a profit. And of course, futures only on wheat. Because you guys, you saw the math, right? But I like selling those right now. Fall of 20, 27. Targets. We've got CPS wheat, central Alberta. I'm going to get a message from A farmer in, like, the Camrose daysline area that's going to say, ryan, shut your mouth. Don't tell people this, but I work the numbers back. There's a real world scenario where CPS values are 950 a bushel for next fall. 925. Let's say 925. Let's be cautious. 925 to 950 for CPS in the fall of 2027. Come on. And lastly, price discovery. Just do what we did today, folks. Check around, keep the buyers honest, keep your numbers honest, and away you go. All right, guys, well, thanks a bunch for hanging out this week. The what the Futures Playlist music playlist. It's on YouTube. Music. My song of the week. I'm gonna go with Pennywise. I'm gonna go way out to lunch here on this one, but it's called the Bro Him. And for the. For the dudes out there, for the bros, it's another one to get you pumped up. It's a goofy song, but I like it. I really do. And lastly, I mentioned Easter eggs here. Why don't you email me, Ryan what the Futures Podcast ca. Just like some of the other folks have done. I've got a few spots here. There's probably still 40 or so left, but you can get futures updates. Canola, wheat, corn. You email me, I send you the example. If you're okay with it, then. Then we get you set up. All right, so that's it, folks. Thanks for hanging out. Send in your thoughts to that email as well. Ryan what the Futures Podcast ca if you want to hear from new guests, certain guests, let me know. It's always helpful. Of course. Prices, strategy, everything can change by the time you listen to the show, so just remember that. Have a great weekend. Be safe out there. It's a busy time of year, guys. Be safe. And I hope you have fun while you're out planting your crop as well. For the what the Futures Podcast. My name is Ryan and I'm out of here.