September 25, 2017

September 25 Weekly Update

9/25 – In Friday’s Cattle on Feed Report, the USDA said new placements onto feedlots in August were just 2.6% above a year ago. Total feedlot inventories on Sept 1st were 10.5M head, 3.6% above a year ago. Cattle marketings in August were up 5.9% above 2016. While the placement

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September 18, 2017

September 18 Weekly Update

9/18 – Last week’s USDA WASDE report was (again) bearish for grain prices. The USDA increased its corn yield estimate and now projects the 2017/18 corn crop at 14.2B bushels, 32M bushels higher than last month’s estimate. The USDA also reduced expected corn usage by 50M bushels, mostly due to

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September 11, 2017

September 11 Weekly Update

9/11 – On 8/22, the Commerce Dept said it would impose countervailing duties, in the range of 50-68%, on Argentine and Indonesian biodiesel imports – effectively pricing them out of the U.S. market. As a result, increased demand for domestic biodiesel feedstocks – soy-oil, canola & corn oil – will

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September 5, 2017

September 4 Weekly Update

9/4 – Hurricane Harvey, one of the most catastrophic flooding events in U.S. history, hit the heart of America’s energy industry last week. According to the Energy Dept, 10 refineries in the Gulf Coast region – representing 17% of total U.S. refining capacity - were shut down as of Thursday.

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August 28, 2017

August 28 Weekly Update

8/28 – In Friday’s Cattle on Feed Report, the USDA said new placements onto feedlots in July were just 2.7% above a year ago, breaking a string of 4 straight monthly double-digit percentage increases. Total feedlot inventories on Aug 1st were 10.6M head, 4.3% above a year ago. Cattle futures,

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August 21, 2017

August 21 Weekly Update

8/21 – In last week’s Livestock, Dairy and Poultry Report, the USDA bumped projected 2017 beef production to 26.7B pounds, up 5.9% from a year ago, and said 2018 output will be 27.4B lbs, up another 2.5%. The July 1st cattle herd clocked in at 102.6M head, up 4% from

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August 14, 2017

August 14 Weekly Update

8/14 – Last week’s USDA WASDE report was bearish for grain prices with supplies of corn, wheat and soybeans all above expectations. The U.S. corn crop suffered a hot, dry July during pollination and only 60% of the crop rated good-to-excellent vs. 74% a year ago. Even so, the USDA

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July 31, 2017

July 31 Weekly Update

7/31 – Japan announced on Friday that it was increasing its tariff on frozen beef from the U.S. from 38.2% to 50% effective Aug 1. Japan has been America’s top export customer for beef this year, eclipsing Mexico and Canada. Japan imposes safeguard tariffs when year-over-year imports exceed 17% for

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July 26, 2017

July 24 Weekly Update

7/24 – Several USDA reports released on Friday confirmed expectations of large beef supplies for the balance of 2017 - and likely through all of 2018. The USDA’s mid-year Cattle Inventory Report checked in at 103M head – up 4.5% from 2015 (there was no mid-year report in 2016). In

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July 17, 2017

July 17 Weekly Update

7/17 - A hot, dry summer sent grain prices sharply higher over the past month, but last week’s USDA’s WASDE report took most of that steam out of the market. USDA increased its estimates for corn and soybean output based on higher acreage. Corn production for the 2017/18 was pegged

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