The Brookings register. [volume] (Brookings, Brookings County, S.D.) 1903-1971, 1917-04-12
THE INVALUABLE MODERN MAR.
KETlNG DEVICE TO INSURE
FARM VALUES

The grain exchange spectators, af-
firm that without this invaluable mod
ern marketing device Of value, or
price insurance, by means OF option
trading, the farmer would be without
a market for his wheat the greater
part Of the year; that he might as
well try to get along without railroads,
and go back to the stage coach days,
or perhaps to the day when it is alleg-
ed that the farmers boy going to mill
with a bushel Of wheat, balanced the
wheat with a stone. The writer took
his first bushel of wheat to mill on
horseback, but divided the wheat and
made a saddle of the sack, which was
a decided improvement on that fool
stone story.
We will take up first the theory or
claim of insured value, and l would
strongly advise every reader to watch
the daily market reports; cut out the
many reasons given for the market
fluctuations in price, and make a scrap
book to re-read at the end of the crop
year, and judge for yourselves as to the
reliability of those s~elf-imposed ex-
perts of value.
For obvious reasons / will use the
Sioux Falls Argus-Leader market re-
ports. Beginning with March 1, when
very little could be known of the win
ter wheat prospects, and the spring
wheat was not sown, we find that these
expert specializing protectors and
guardians voluntarily, and without ex-
pense to the wheat growers, began in
surfing the value of the 1917 wheat
crop. The balance Of the 1916 wheat
for safe was nearly all under their
control.
March l cash wheat was selling at a
premium of IA cents over May. The
May option was selling for S1.83; July
for $1.7S, and September for $1.4S.
That is, the farmer could have sold
his wheat March / for $1.97. If he
wished to keep it until May, and using
this invaluable market device, and SELL
ir,g ~ option. he would be insured in
getet9 "A cents per bushel less, or
$1.S3; or, fer July delivery, $1.78, or 10
cents less; or September delivery $1.48,
or 40 cents per bushel less. Is there
a farmer in the United States who is
taking advantage o fthis wonderful de-
vice? If so, l would like his name and
address.
March 2 cash wheat dropped 2 cents
per bushel. What was the reason?
Snow and rain in the Southwest"
Snow in midwinter! Don't laugh! The
experts had to have some reason.
March 3: "Only a transient set
back / nvalues resulted from reports of
heavy snowfalls in Kansas and the
prospect OF arming American ships"
and cash wheat jumped to 1904, an in
crease of 9 cents; May to $1.91, an in
crease Of 6 cents; July to $l.83, and
September to $3.50. The wheat they
controlled gained 9 cents; the wheat
the farmer had to grow only 2 cents.
March S. "The ship arming bill was
defeated, but it made no material diff
ference. Then that factor can be
eliminated for the 3rd, which would
make the snow storm in Kansas alone
responsible for the boost.
March s. Contradictory rumors
caused a %1uctuation OF 4 cents, a net
advance o fcash wheat of 2 cents.
March Z. Market weak because of
realizing selling by holders and SHOWS
in the West. September selling down
to $1.4s."
March 8. On several rumors in re
shipping the market was weak, but
owing to publish crop reports from
West and Southwest led afterward to
an upturn in values" More snow in
Kansas, in all probability.
March 10. Many rumors with slight
changes until 1t was reported that
there was a Severe wind and dust
storms in Kansas resulted later in a
pronounced advance. Kansas Is the
only state l nthe Union where q dust
stor mcould follow a 10Y storm so
closely and damage a wheat crop in
early March.
March IL. Kansas again. Later.
however. word Of rain In Kansas AUS
81 the market to give way in q more