There were some very large swings in the ag markets last week. We began the week trading sharply higher when Russia attacked grain export ports in the Ukraine. There was also talk that any ships in the Black Sea could be attacked because there were thoughts they may be carrying war materials. This sure seemed to be an escalation in the war. The grain markets traded sharply higher early in the week. This would be a big deal if you take all the grain from the Black Sea region off the world market.

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Later in the week the market bears were talking about all that grain could be trucked to ocean ports, or railed. This would certainly be much more expensive but traders viewed it as bearish and down we went. It was hard to understand how the markets seemed to totally ignore the 100 degree temperatures or higher in the Midwest. Look at the latest Drought Monitor and you see the entire Midwest in some stage of drought. Click on the link above and listen to Gordy talk about the ag market action last week.

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