Yesterday, we discussed the hog to corn ratio and cost of production for pork producers; today is a look at the dairy sector. As would be expected, all the same cost issues are affecting dairy production from labor, to energy, to transportation, and of course feed. The milk-income-over-feed-costs Dairy Margin Insurance Coverage (DMC) payments were triggered for August, for the first time since November 2021. Under the program, producers can cover margins that fall below $9.50/cwt; note that catastrophic coverage is triggered for all producers (regardless of their participation in the program at $4.00/cwt).
The national average margin for August was $8.08 per cwt; it was lower in the west. Milk prices rebounded from 2021 as product slowed...
What You Need to Know Today: Commodities were mostly lower across the board today after yesterday’s Federal Reserve meeting hinted at a potential interest rate hike later in 2026. The dollar index reached its highest level in over a year, and a strong dollar makes U.S. agricultural expor...
Tomorrow is the Juneteenth federal holiday, and the USDA, along with the rest of the federal government and the CME, will be closed, so the monthly Cattle on Feed report was released a day early. The total number of cattle on feed in feedlots with 1,000 head or more capacity on 1 June amounted...
