Market analyst Jeff Peterson with Heartland Farm Partners says the conflict has pushed some commodity prices higher. “The market was a little higher on corn and beans. We’re back trading a little bit lower across corn and beans. We have a little bit more strength and are higher across Chicago, Kansas City, and Minneapolis wheat. Crude oil is up about $3.60 per barrel.”
He tells Brownfield producers can expect modest increases for some inputs. “I think that raises the price of diesel fuel. I think it also does raise the price of gasoline and that’s coming because we see the raising in the crude oil prices. I would say overall this would have a tendency to also raise up the price of what we’re seeing on the fertilizer side.”
Peterson says unless there is a significant escalation in the region, farmers should hold onto any unsold grain. “As of right now, I would say you can just hold tight with where you’re positioned right now. We do think we’re going to see a bounce in the prices higher yet.”
He says he doesn’t expect significant volatility unless groups like Hezbollah or countries like the U.S. and Iran become involved in the conflict.
Hammas launched an air, sea, and land invasion into Israel on Saturday. In response, Israel has declared war and a total siege and blockade on the Gaza Strip where Hammas is known to be located.