The December WASDE is market neutral, and the corn and soy markets apparently came to the same conclusion. Wheat futures have been more impressed by today’s weaker U.S. dollar than changes to the world supply/demand outlook. General Comments This month’s WASDE, released by USDA today, maintained the reputation held by previous December editions of being the least eventful, least exciting issue of the year. Of course USDA made a number of relatively small changes, but we do not consider any of them to be surprising. Below are some of the highlights:
The U.S. wheat supply/demand, including estimated 2015/16 exports, was left unchanged. The carryout remains 911 million bushels. The already record-large world wheat production was increase...
What You Need to Know Today: Agricultural commodities were mostly lower on the day, with red-hot soyoil a notable exception. Export sales were a bit underwhelming, particularly for corn with export sales down 52 percent week-over-week. The weakness in ag markets tracked crude oil weakness wit...
With the war in Iran affecting fuel and fertilizer prices, higher tariffs, weak commodity prices, ag labor constraints, and other factors, farm bankruptcies are now at a 6-year high, a signal of growing stress. During the month of April, 62 Chapter 12 bankruptcies were filed, which is a 1...
Food Inflation The Open Markets Institute, which is notably funded by several “anonymous” donors and liberal foundations, obtained a guest editorial in the New York Times in which they blame agribusiness concentration for higher grocery prices. This is their schtick and it is politi...
