Ted Seifried with Zaner Ag Hedge says rumors of China purchases circulate nearly every time the corn market rallies.
Customers crave the quality and consistency of U.S. pork, beef and lamb. That is helping the industry overcome market challenges, explained USMEF’s Dan Halstrom at the USMEF Conference in Indianapolis.
Jeff Hoogendoorn, with Professional Ag Marketing, says hogs ended mixed Wednesday, consolidating after the recent rally driven by higher cash and cutouts. While soybeans rallied after the Trump/Xi call.
Lee Schulz and Chip Flory discuss current supply and demand in the beef and pork industries and what’s ahead.
Dave Chatterton, Strategic Farm Marketing, says the markets faded the news as the realization set in that no major breakthroughs in the trade talks are expected and a long term trade deal with China could take quite some time.
Arlan Suderman, StoneX Chief Commodities Economist says the markets reacted positively to the 90-day delay on reciprocal tariffs for countries that reached out to negotiate with the U.S. and did not retaliate.
Naomi Blohm, Total Farm Marketing, says grains rebound as the market has absorbed much of the tariff news. Meanwhile, livestock saw follow through selling and triple digit losses.
While tariffs are negative for grain and hog producers, tariffs on U.S. beef and cattle imports have a net effect of tightening supplies and that’s price positive.
Cash cattle averaged $204.12 per cwt., up from last week, while lean carcass hog prices came in at $81.79 per cwt.
The October Monthly Monitor reflects cautious optimism in certain areas of agriculture, marked by export strengths and potential price recoveries, but shadowed by long-term rebuilding challenges, weather dependencies and the impact of the upcoming election.
As agriculture faces multiple challenges, USDA’s latest net farm income forecast is masking the reality for farmers. While livestock margins have improved for 2024, high input costs and below breakeven prices for row crops means margins could be the worst in nearly 20 years.
Meat and poultry industry trade groups were quick to criticize USDA’s announcement of changes to the Packers and Stockyards Act claiming the changes add unnecessary regulations and costs.
Hogs Bounce Off Contract Lows
The latest Ag Economists’ Monthly Monitor, a survey of nearly 70 ag economists from across the U.S., shows the lack of exports, as well as the current crop prices, are eroding outlooks on the crops side. While strong beef demand and cheaper feed prices are creating more optimism in cattle.
New proposed USDA rule will better protect farmers, ranchers, and other covered market participants by making clearer how prohibitions on unfair practices will be enforced under the Packers and Stockyards Act.
The Packers and Stockyards Act changes may be coming, as the Fiscal Year 2024 Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Bill has been sent to the full House for consideration.
As agriculture faces multiple challenges, USDA’s latest net farm income forecast is masking the reality for farmers. While livestock margins have improved for 2024, high input costs and below breakeven prices for row crops means margins could be the worst in nearly 20 years.
Darren Frye, Water Street Solutions, says it was an impressive that grains, especially the soybean complex, shook off the election results, possible tariff hikes and a sharply higher dollar.