Market Analysis
Ted Seifried with Zaner Ag Hedge says rumors of China purchases circulate nearly every time the corn market rallies.
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.
CFTC says expanding trading hours would ensure markets remain vibrant, while commercial hedgers and commodity brokers who work with farmers say it will fuel volatility and won’t make the markets stronger.
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.
Hogs Bounce Off Contract Lows
USDA’s final look at crop production for 2023 caught the commodity markets by surprise. The agency increased the final yield estimates for both corn and soybeans, and as a result, prices plummeted on Friday.
After two months of a waning outlook on the ag economy, economists views took a turn in the November Ag Economists’ Monthly Monitor, a survey of nearly 70 ag economists from across the country.
A market analyst shared a gloomy outlook for the country on Thursday, saying the U.S. balance sheet and financial condition have been deteriorating significantly over the last decade. He expects more of the same ahead.
Officials in China now say the population sits at 1.4 billion, which came as a surprise to many economists and market analysts. The news draws concerns about what it means for demand both short- and long-term.
The new year brings fresh market action, but volatility continues to be the main theme to enter the new year. As farmers look ahead, analysts say there are some keys lessons to keep in mind from 2022.
Jerry Gulke, president of the Gulke Group, offers further analysis on market trends and movements and what they mean to the farm industry.
IN-DEPTH MARKET ANALYSIS: Wednesday was a risk-off day in the agricultural commodity markets.
Exports for both beef and pork have been flexing their muscles in the market, and DuWayne Bosse of Bolt Marketing says that’s because of high consumer confidence coupled with a strong Dow.
During the Pro Farmer Profit Briefing, Chip Flory and Brian Grete discuss the low lean hog and cash lean hog index and the contract highs in the futures cash market in cattle.
The 2018 Winter Olympics will begin February 9 in Pyeongchang, South Korea and athletes are preparing to be on the global stage.
Hook space is growing along with the current pork herd, and pork prices have been feeling pressure.
Whether the outlook is positive or negative depends largely on exports, and the industry’s ability to remain a trusted trade partner, says Rabobank in a new report.
The U.S. dollar has been losing some strength, which is making the U.S. more competitive in the export market with Brazil and Argentina.
Two new pork processing plants came online the beginning of the month in Coldwater, Mich. and Sioux City, Ia. That relieved some of the pressure on the producer end, but now the question is if there’s enough demand on the processed side.
Hog prices in 2017 have been fairly impressive, and strong consumer demand is keeping the lean hog market strong.
Last month, the USDA released its first quarterly Hogs and Pigs report in 2017, breaking four records in the first quarter of the year.
The USDA’s quarterly Hogs and Pigs report is due out Thursday.
Farmers are holding onto new-crop corn and soybeans in hopes of a post-harvest rally, but it could come back to haunt them.
Chip Flory breaks down this week’s potential headline makers with a new “risk rating” system.