There is an old Jerry Clower story called “Knock Em Out John.”
The story is about a man who climbed 60-feet up a tree with a sharp stick to punch a racoon out and let him fall to the ground to fight with the dogs. But when the man got there, he encountered a lynx, a supercharged bobcat. The fight for survival began and John yelled to the man on the ground who had a gun, “shoot, shoot.”
The man yelled up to John, “I can’t shoot, I might hit you.”
John yelled back, “Just shoot up in here amongst us, one of us got to have some relief.”
This may be the cry of corn, wheat and soybean growers who all want prices to go up. The United States has too much of all three grains to gain a profit from any of them. The bullet bringing relief to them is likely to be a drought. Who gets hit and when?
I spoke with Richard Peckemeier with CHS Hedging. Peckemeier spoke to me last week about the drought in the Hard Red Winter Wheat Belt. Although the stage of drought is severe on the winter crop, he’s still not sure how much it will impact the market.