The 12 October USDA reports might have created a state of equilibrium in wheat, corn and soybean markets for the following reasons:
Any significant changes to the U.S. corn and soybean yield and production estimates are unlikely going forward. USDA also made acreage adjustments to both crops in these reports. In short, it is what it is. The market has had a bearish lean for so long that these reports might have (finally) alleviated much of the pressure by deciding most, if not all, of the bearish news has now been factored into prices. Corn and wheat futures markets are cheap, and basis levels are even cheaper. It is doubtful farmers will be sellers of much until 2018. The corn harvest’s slow pace has tended to alleviate/soften...
What You Need to Know Today: Russia rejected calls for a ceasefire in the Black Sea, including a proposal to halt attacks on civilian shipping that could help restore grain flows from Ukrainian ports. Tyson Foods announced plans to permanently close its Joslin, Illinois, beef processing facili...
The big news in the cattle markets yesterday was Tyson Foods’ move to close two more beef plants. One of them, the Joslin, Illinois, plant was shuttered immediately after the announcement. The other, in Eagle Mountain, Utah, is a case-ready plant that does not slaughter cattle. Tyson also...
The Bureau of Labor Statistics (BLS) released the Consumer Price Index (CPI) on Wednesday. In July, the CPI rose 0.1 percent, seasonally adjusted, and rose 3.4 percent over the last 12 months, not seasonally adjusted. The index for all items less food and energy, or the “core” infla...
