Farmers mostly want to grow what is easy and profitable. Excluding government payments, all the major crops have turned negative for U.S. farmers in terms of net value of production after expenses (see graph below). Productivity works to drive down the gross value of crops, but growing what the market demands is also important.
Understanding what the world wants and is willing to compensate can be challenging to calculate. Following are key results for six major global crops analyzed during 2011-2020:
Soybeans have had the largest increase in use (thank you, China), and the biggest boost in yield gains but also the second-greatest increase in ending stocks. Corn has also had impressive increases in use as it compliments soymeal in th...
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...
