July 16, 2018

July 16 Weekly Update

7/16 - In last week’s WASDE report, the USDA reduced soybean exports by 250M bushels, or 12%, reflecting the projected impact of China’s retaliatory import duties that took effect on July 6. The Chinese bought $14 billion of U.S. soybeans in 2017. Soybean futures prices have plunged by 22%, from

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July 9, 2018

July 9 Weekly Update

7/9 - Class III milk futures, which finished the month of May at $15.47/cwt, plunged in June and closed at $14.20 on Friday. Why? Mostly due to fears that tariffs will not only halt dairy exports to our top customer (Mexico) and ruin margins for dairy producers, but also that

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July 2, 2018

July 2 Weekly Update

7/2 – In Friday’s quarterly Hogs && Pigs report, the USDA confirmed that there is a mountain of pork in the pipeline. Total U.S. inventories on June 1, at 73.5M head, are up 3.4% from a year ago and the highest June 1 inventory since estimates began in 1964. Breeding

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June 26, 2018

June 25 Weekly Update

6/25 – In Friday’s Cattle on Feed Report, the USDA said new placements onto feedlots in May were very close to year-ago levels, but that feedlots inventories at 11.56M head were 4.1% higher than last year and the highest on record for the month of June. Beef supplies are up,

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June 18, 2018

June 18 Weekly Update

6/18 - In last week’s WASDE report, the USDA reduced 2017/2018 corn ending stocks to a 4-year low of 1.57B bushels, mostly due to a higher export forecast. This year’s U.S. corn crop looks good so far. Corn emergence is 94% complete and corn condition ratings are 77% good-to-excellent compared

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June 4, 2018

June 4 Weekly Update

6/4 – Chicken production is finally recovering from a combination of higher mortality rates and lower slaughter weights in the wake of woody breast syndrome. Mortality is still an issue. YTD eggs set into incubators are up 2.8% from a year ago, but chicks being placed for grow-out are up just

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May 29, 2018

May 29 Weekly Update

5/29 – In Friday’s Cattle on Feed Report, the USDA said new placements onto feedlots in April were 8.3% below a year ago, but that feedlots inventories at 11.6M head are still 5.1% higher than last year. Poor winter wheat grazing, due to drought in TX and OK, prompted herd

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May 21, 2018

May 21 Weekly Update

5/21 – Higher fuel prices are back. AAA says that retail gasoline in the U.S. is currently averaging $2.94 per gallon vs $2.35 a year ago. Diesel is $3.18 vs $2.50 last year. OPEC and Russia have successfully reduced the global crude oil supply surplus from 400M barrels to just

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May 14, 2018

May 14 Weekly Update

5/14 – In last week’s WASDE report, the USDA released its first look at the 2018/19 crop year for grains, and 2019 for proteins and dairy. Cattle, hog, broiler, cheese and butter prices for 2019 are all projected to be within 1% of 2018 levels. Turkey is forecast to jump

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May 10, 2018

May 7 Weekly Update

5/7 – Broiler production continues to struggle, but it’s not for lack of trying by producers. With four months of data in the bank for 2018, the number of “eggs set” into incubators (through 4/28) was up 2.6% from a year ago and 4.3% above the 3-yr average (2015/17). However,

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