1. Wheat and Feed Grain Market Outlook and Situation Southern Extension Outlook Conference Tunica, Mississippi September 24, 2002 Kurt M. Guidry LSU Agricultural Center

2. Current Market Situation Supply Driven Rally Improved Fundamentals Increase Market Sensitivity Since June, Futures Prices Have Increased  Wheat Futures Moved Over $1.00 Per Bushel Higher  Corn Futures Moved Over $0.70 Per Bushel Higher Significantly Improved Markets From Last 3 Years

3. Where Will Prices Go ? Prices Have Softened With Harvest Pressure And Likelihood Of Increased Acres For Wheat Demand Will Likely Play Big Role In Continued Price Movement Increased Prices Will Likely Bring More Acreage Into Production Improved Supply and Demand Fundamentals Should Provide Support

8. Source: DTN AgDayta

19. Source: USDA, World Agricultural Supply and Demand Report, September 12, 2002

21. Source: DTN AgDayta

36. Conclusions Despite Improved Fundamentals, Increased Acres And A Return To More Typical Yields Will Place Pressure On Price Improved Fundamentals Likely Will Cause More Sensitivity To Production Difficulties And/Or Improved Demand Potential For Increased Production Provides Incentive To Consider Current Prices For Expected 2003 Production