Agri Blog

TL;DR Healthy cattle create predictable performance timelines that enable futures and options hedging. You can't successfully hedge sick or inconsistent cattle because contracts are tied to specific months and weights. Start with good herd health protocols, document...

This article is the opinion of Ag Optimus. Intro For most cattle feeders, corn isn’t just an ingredient in the ration — it’s the backbone of the entire feeding operation. Feed represents the largest share of the cost of gain, and corn, in particular, determines...

Introduction The USDA and Mexican agricultural authorities have initiated a significant biosecurity effort with the opening of a new sterile fly dispersal facility in Tampico, Mexico. This facility will aerially release up to 100 million sterile New World screwworm...

Introduction Formula pricing and negotiated cash trade represent the two primary marketing methods for fed cattle, but neither approach universally delivers higher prices for all feeders. The effectiveness of each pricing method depends on your operation size,...

TL;DR (Key Takeaways): Fertilizer costs have risen 30–80% since 2021, pressuring farm profitability. Soil testing helps apply nutrients precisely, reducing waste and input costs. Alternative and organic fertilizers, such as compost or manure, can lower costs. Crop...

Introduction The relationship between cash and futures prices forms the backbone of modern commodities and financial markets, where the two are interconnected through the basis (also known as the grain basis)—the difference between spot and derivative prices. This...

This article is the opinion of Ag Optimus. (TL;DR) DOJ investigating major meatpackers for potential price fixing and market manipulation amid record beef prices.​ Ranchers are hopeful for greater market fairness and better cattle prices as a result of renewed...

Introduction Whether you should sell or store your grain at harvest represents one of the most financially consequential decisions in agricultural production. This choice directly impacts your farm’s profitability, cash flow, and risk exposure, and the wrong timing...

This is the opinion of Ag Optimus CME Group’s recent reset of daily price limits for live cattle and feeder cattle futures reflects the rapidly changing dynamics of agricultural commodity markets. On June 2, 2025, the initial daily limit for live cattle futures rose...

Introduction Grain prices fall when supply outpaces demand, creating market conditions in which corn and soybean prices fall below average production costs, squeezing farm profitability and forcing farmers to sell crops at reduced margins. This comprehensive analysis...