AgDay Daily Recap -December 22, 2015

December 22, 2015 02:57 AM
 

TODAY ON AGDAY
DEC. 22, 2015


OPENING HEADLINES:
COMING UP TODAY ON AGDAY -WASHINGTON PREPARES FOR NEW CHALLENGES
IN THE NEW YEAR: CATTLE HEADING TO FEED DECLINE IN THE LATEST USDA REPORT. IN AGRIBUSINESS...EVALUATING DAIRY MARKETS. AS THEY HAVE GOTTEN THEIR FILL NOW WE ARE LOOKING FOR A BUYER TO PICK UP THAT NEXT SLACK AND THEY ARE NOT THERE. EVEN WHILE MILK PRODUCTION INCREASES...HERE AT HOME. AND A CHEESY GIFT IDEA FROM TENNESSEE THAT BENEFITS STUDENTS.
OBAMA LAYS OUT 2016 AGENDA BEFORE HITTING THE BEACH:
GOOD MORNING I'M CLINTON GRIFFITHS. PRESIDENT OBAMA HAS STARTED HIS ANNUAL VACATION IN HAWAII. BEFORE HE LEFT WASHINGTON, THE PRESIDENT LAID-OUT THE AGENDA FOR HIS FINAL YEAR IN OFFICE. AND TOPPING THAT LIST IS A MASSIVE TRADE DEAL THAT IMPACTS AMERICA'S FARMERS AND RANCHERS.
WITH CONGRESS AGREEING TO THE ONE TRILLION DOLLAR OMNIBUS SPENDING BILL LAST WEEK, THE PRESIDENT SAYS THAT SHOWS CONGRESS CAN GET THINGS DONE. AND HE'S OPTIMISTIC THAT LAWMAKERS CAN APPROVE THE TRANS-PACIFIC PARTNERSHIP IN EARLY 2016.
HOUSE SPEAKER PAUL RYAN SAID LAST WEEK THAT HE WANTS TO TAKE A VOTE AS SOON AS POSSIBLE ON THE T-P-P IF THE PACT LIVES UP TO THE PROMISES MADE BY THE WHITE HOUSE. SPEAKING FOR THE ADMINISTRATION, AG SECRETARY TOM VILSACK SAYS T-P-P PROVIDES FAIR ACCESS TO A REGION OF THE WORLD THAT WILL FACE EXPLOSIVE GROWTH. IN ASIA WE'RE LOOKING, WE'RE LOOKING AT AN EXPANDING AND EMERGING MIDDLE CLASS. IN ASIA TODAY ROUGHLY 535 MILLION MIDDLE CLASS CONSUMERS WILL GROW BY 2.7 BILLION OVER THE NEXT TEN YEARS AS PROJECTED. WHICH MEANS 3.2 BILLION MIDDLE CLASS CONSUMERS LOOKING FOR HIGH VALUE AG PRODUCTS AND PROTEIN. THE KINDS OF PRODUCTS AMERICAN PRODUCERS PRODUCE IN GREAT ABUNDANCE WITH GREAT QUALITY WHICH IS A GREAT MARKET OPPORTUNITY FOR US.
VILSACK SAYS T-P-P IMPROVES PHYTOSANITARY RULES WHICH MAKE IT MORE DIFFICULT FOR OTHER COUNTRIES TO UNFAIRLY USE FOOD SAFETY CONCERNS AS TRADE BARRIERS. SPEAKER RYAN SAYS HE DOESN'T HAVE A SET DATE IN MIND BUT THAT THE T-P-P IS "VERY IMPORTANT" BECAUSE IT GIVES THE UNITED STATES THE ABILITY TO WRITE THE RULES OF GLOBAL TRADE IN THE FASTEST GROWING REGION IN THE WORLD. SECRETARY VILSACK ALSO COMMENTING ON THE REPEAL OF THE COUNTRY OF ORIGIN LABELING LAW. THE "UN-DOING" OF THAT LAW CAME AS A RESULT OF THE OMNIBUS SPENDING BILL PASSED BY CONGRESS.
HE SAYS USDA WILL BE AMENDING THE COOL REGULATIONS AS EXPEDITIOUSLY AS POSSIBLE TO REFLECT THE REPEAL OF THE BEEF AND PORK PROVISIONS. IN A JOINT STATEMENT FROM THE CANADIAN AGRICULTURE AND TRADE MINISTRIES, THEY SAID "CANADA WILL ACTIVELY MONITOR TO ENSURE THAT THE INCENTIVES TO DISCRIMINATE AGAINST CANADIAN CATTLE AND HOGS ARE QUICKLY REMOVED FROM THE MARKETPLACE."
AND WHILE THE CANADIAN GOVERNMENT WELCOMED THE REPEAL, IT DID NOT SPECIFICALLY COMMENT ON THE STATUS OF THE PROPOSED RETALIATORY MEASURES. ACCORDING TO A REPORT FROM REUTERS, MEXICO HAS HALTED ITS PLAN TO IMPOSE RETALIATORY TRADE MEASURES ON THE U-S OVER M-COOL.
ECONOMIC TURMOIL IN CHINA COULD CHALLENGE AG MARKETS IN 2016:
MEANWHILE, ECONOMIC TURMOIL AND HIGH INVENTORIES IN CHINA COULD BE A CHALLENGE FOR AG MARKETS IN 2016. THAT'S ACCORDING TO A NEW REPORT FROM CO-BANK.
COBANK SAYS IT WASN'T JUST ECONOMIC PROBLEMS WEIGHING ON IMPORTS. IT SAYS HEAVY SUBSIDIZATION AND GROWING STOCKPILES ARE STRAINING STORAGE CAPACITY AND PUSHING IMPORTS LOWER.
THE COUNTRY SEEING MULTI-YEAR HIGH SUPPLIES OF CORN, WHEAT, COTTON, MILK POWDER AND SOYBEANS. THE COBANK REPORT SAYS CHINESE DISPOSABLE INCOMES CONTINUE TO GROW--INCREASING 10 PERCENT YEAR OVER YEAR.
IT SAYS THAT EMERGING MIDDLE CLASS BODES WELL FOR FUTURE GROWTH OPPORTUNITIES FOR U.S. AGRICULTURE.
USDA NOVEMBER CATTLE FEED REPORT:
USDA ROLLING OUT ITS NOVEMBER CATTLE ON FEED REPORT FRIDAY.
TOTAL ON FEED CAME IN AT 10 POINT 8 MILLION HEAD ROUGHLY EVEN WITH LAST YEAR. MARKETINGS CLIMBING FOUR PERCENT YEAR OVER YEAR---HOWEVER WHEN ADJUSTED FOR AN ADDITIONAL SLAUGHTER DAY THE TALLY WAS SLIGHTLY BELOW YEAR AGO NUMBERS. AND PLACEMENTS IN TO FEEDLOTS COMING IN 11 PERCENT BELOW LAST YEAR AT 1 POINT 6 MILLION HEAD. THAT'S SIGNIFICANTLY FEWER THAN ANALYST EXPECTED.
USDA SAYS FEEDYARDS AREN'T BUYING AND STOCKERS AREN'T SELLING DUE TO THE RECENT DROP IN PRICES. THAT COMBINED WITH MILD WEATHER AND ABUNDANT FEED, CATTLE ARE STAYING ON PASTURE LONGER. GOOD MORNING CLINTON. WINTER WHEAT IN MONTANA IS DEALING WITH WIDE SWINGS IN TEMPERATURES BUT RECENT SNOWS ARE HELPING WITH MOISTURE.
THE STATE NASS OFFICE SAID AT THE START OF THE MONTH, THE CROP LOOKED AVERAGE TO ABOVE AVERAGE OVERALL. 73 PERCENT WAS RATED GOOD TO EXCELLENT.  FARM AND RANCH PHOTOGRAPHER TODD KLASSY TOOK THIS PICTURE OF AN AIR DRILL RUNNING NEAR GILDFORD MONTANA. THE FARMER IS PLANTING WINTER WHEAT.
HE SAYS THE IMPLEMENT IS BACK TO WORK AFTER SUFFERING SEVERE DAMAGE DURING A JULY 4TH HAIL STORM AND YOU MAY REMEMBER THIS...A SNOW PACK MEASUREMENT IN CALIFORNIA LAST SPRING...DONE ON NOTHING BUT GREEN GRASS.
FAST FORWARD TO TODAY, AND THE SAME AREA NOW SEEING MORE THAN 50 PERCENT OF NORMAL SNOWFALL. WHILE SOUTH IN SEQUOIA NATIONAL PARK--SOME SNOW SURVEYS REPORT NEARLY 200 PERCENT OF NORMAL SNOWPACK FOR EARLY WINTER.
NOAA LONG-RANGE FORECASTS ARE CALLING FOR ABOVE-AVERAGE SNOWFALL FOR SOUTHERN CALIFORNIA. AND TAKING A LOOK AT THE WEATHER MAP JUST ONE SYSTEM AFTER ANOTHER MOVING FROM WEST TO EAST ACROSS THE COUNTRY WE'LL LET YOU KNOW WHO GETS WET AND WHO GETS WHITE OVER THE NEXT COUPLE OF DAYS COMING UP. IT'S BEEN A TOUGH FEW WEEKS IN DAIRY MARKETS.
TEASER:
WE'LL TALK ABOUT THAT AND WHAT TO EXPECT IN EARLY 2016 WITH MIKE NORTH AFTER THE BREAK. AND CHUCK DENNEY SHOWS US HOW THE UNIVERSITY OF TENNESSEE IS GETTING IN THE HOLIDAY SPIRIT -ONE CHEESE WHEEL AT A TIME.
RECIEVE A FREE TRIAL OF THE DAILY MARKET LETTER AND GAIN KNOWLEDGE ABOUT CURRENT MARKET CONDITIONS FROM THE PROFESSIONALS AT BOWER TRADING. VIEW THE MARKETS LIKE NEVER BEFORE. GO TO BOWERTRADING DOT COM.
CME IN CHICAGO:
IN AGRIBUSINESS GRAINS IN RED BUT LIVESTOCK SEEING ANOTHER DAY OF GREEN. LETS SEE HOW MARKETS CLOSED FROM THE FLOOR OF THE CME IN CHICAGO.
IT WAS ANOTHER LIMIT-UP DAY FOR THE FIRST HALF OF THE SESSION IN BOTH THE FEEDER CATTLE AND LIVE CATTLE. BOTH OF THOSE MARKETS DID START TRADING IN THE SECOND HALF OF THE SESSION AND CAME OFF LIMIT. BUT STILL LOOKING TO CLOSE WITH SOME VERY VERY STRONG GAINS. SO TWO DAYS OF LIMIT UP TO NEAR LIMIT UP GAINS FOR CATTLE AND FEEDER CATTLE. AND WE KNOW WHY. THE CATTLE ON FEED REPORT WAS EXTREMELY BULLISH WITH SIGNIFICANTLY LOWER THAN EXPECTED PLACEMENTS. IN FACT, RECORD LOW FOR PLACEMENTS. AND BETTER MARKETING THAN ANYBODY HAD EXPECTED AS WELL. KINDA OF A SOFTER MARKET HERE TODAY AFTER TRADING BOTH SIDES WERE UNCHANGED. CORN AND BEANS AND WHEAT FOR THAT MATTER ALL SEEN HIGHER AND LOWER PRICE, BUT PREDOMINANTLY LOWER THROUGHOUT THE DAY. BEANS CATCHING SOME SELLING DUE TO THE FACT THAT THERE HAVE BEEN SOME IMPROVING RAINS REPORTED IN NORTHERN PARTS OF BRAZIL. SEEM TO GET THE BEST REASONS. PARTS OF MATO GROSSO, BUT SOME PARTS OF MATO GROSSO STAYED DRY. AND PARTS OF MOUNT PIETRO STAYED DRY AS WELL. SO WHILE THERE WERE SOME BENEFIICIAL RAINS IN PARTS OF NORTHERN BRAZIL NOT EVERYONE GOT THE RAIN. AND THAT SEEMS TO BE KEEPING THE UNDERNEATH TO THE MARKET. THANKS VERY MUCH. THIS IS JACK SCOVILLE, VICE PRESIDENT OF PRICE FUTURES GROUP HERE ON THE CME GROUP FLOOR WITH SOME COMMENTS FOR
THE MARKET. 
AGRIBUSINESS:
JOINING US HERE AT THE AGRIBUSINESS DESK MIKE NORTH, COMMODITY RISK MANAGEMENT GROUP. MIKE, LET'S TALK ABOUT THESE DAIRY MARKETS. WE LOOK AT 2015 AND WE ARE 30 PERCENT BELOW WHERE WE WERE 2014. WHAT ARE WE SEEING REALLY DRIVING THIS AND I THINK PRODUCTION HAS GOT TO BE ONE OF THEM, RIGHT?> YEAH, THE REALITY IS YOU HAVE HAD THE BAN ON PRODUCT FROM RUSSIA, YOU HAVE HAD CHINA BACKING OFF ON IMPORTS, YOU HAVE HAD BIG PRODUCTION GROWTH BOTH FOLLOWING THE RELEASE OF QUOTA IN EUROPE AND ON THE HEELS OF THE BIG 2014 PRICE OPPORTUNITY IN THE UNITED STATES.
NATIONAL WEATHER:
WELCOME BACK TO AGDAY METEOROLOGIST MIKE HOFFMAN JOINING US HERE FOR A CHRISTMAS WEEK. MIKE IT LOOKS LIKE THERE COULD BE A FEW STORMS IN CERTAIN PARTS OF THE COUNTRY. OH MY GOODNESS JUST ONE AFTER THE OTHER. NOW THAT'S GREAT NEWS THE DROUGHT AREAS OUT WEST BUT NOT SO MUCH IN THE EAST. IT'S KIND OF DREARY IN PLACES BECAUSE IT'S SO WARM AND WET. AND ONE OF THOSE PLACES IS THE OHIO VALLEY AND MANY PARTS OF THE NORTHEAST WHERE THE WARM AIR AND THE RAIN AND THE DRIZZLE AND THE FOG IN PLACES JUST KIND OF MAKE FOR A DAMP RATHER MISERABLE START TO THE TUESDAY. A LITTLE BIT OF SNOW IN UPSTATE MAINE SHOWERS AND THUNDERSTORMS INTO THE SOUTHEAST AND YOU CAN SEE ALL OF THE SNOW OUT WEST. NOW A LOTS OF FOLKS ARE GOING TO SEE A WHITE CHRISTMAS ESPECIALLY IN THE WESTERN HIGHER ELEVATION PARTS OF THE COUNTRY. BUT EAST OF THERE NOT TOO MANY PLACES ARE GOING TO SEE A WHITE CHRISTMAS OUT OF THIS ONE. BUT WE DO HAVE TWO STORMS SYSTEMS THERE. FIRST ONE IS GOING TO TAKE OFF INTO SOUTHERN PORTIONS OF CANADA PUTTING DOWN SOME SNOW ACROSS NORTH DAKOTA NORTHER MINNESOTA BEFORE IT LEAVES.
TEASER:
AND LATER SAYING YOU CARE WITH THE GIFT OF CHEESE.  A THOUGHTFUL TIP FROM THE UNIVERSITY OF TENNESSEE WHEN WE RETURN.
FIND YOUR NEXT PIECE OF EQUIPMENT AT MACHINERY PETE.COM AND ENTER FOR YOUR CHANCE TO WIN A YETI COLLER. ONE YETI TUNDRA 35 COOLER IS BEING GIVEN AWAY EACH WEEK. GO TO WWW.MACHINERYPETE.COM/SURVEY, COMPLETE THE SURVEY, AND ENTER YOUR INFORMATION. YOU COULD BE NEXT OWNER OF A MACHINERY PETE YETI COOLER.
DAIRY TODAY:
IN OUR DAIRY TODAY REPORT, USDA ROLLING OUT IT'S NOVEMBER MILK PRODUCTION NUMBERS. MILK PRODUCTION IN THE U.S. TOTALLY 16 POINT 6 (16.6) BILLION POUNDS.
THAT'S UP POINT 6 (.06) PERCENT FROM LAST YEAR.
CALIFORNIA CONTINUES TO LEAD IN PRODUCTION (3.2 BILLION) BUT WAS ONE OF 8 STATES WITH LOWER PRODUCTION FOR THE MONTH, YEAR OVER YEAR.
MEANWHILE SOUTH DAKOTA JUST BOOMING....LEADING THE NATION IN INCREASES--199 MILLION POUNDS LAST MONTH.
THAT WAS MORE THAN 13 (13.1) PERCENT ABOVE THE SAME MONTH A YEAR AGO. BREAKING IT DOWN BY COW, PER COW PRODUCTION TIPPING SCALES AT 17HUNDRED 87 POUNDS. WHILE MILK COW NUMBERS HOLD STEADY--HOWEVER STILL NEARLY 30THOUSAND (29,000) HEAD MORE THAN A YEAR AGO.
U.S. CHEESE PRICES LOOKING STOP THE RECENT SLIDE. LAST WEEK, AT THE CME CHEESE PRICES HITTING ITS LOWEST PRICE IN NEARLY FIVE YEARS. THE DROP A RESULT OF INCREASING MILK PRODUCTION.
CHEDDAR-CHEESE BLOCKS TRADING AROUND $1.40 A POUND LAST WEEK, THE LOWEST PRICE SINCE 2010. IN OCTOBER CHEESE INVENTORIES WERE UP 15 PERCENT.
WINNER OF 2015 YIELD CONTEST:
AND CATTLE FEEDERS CAN APPRECIATE THE EFFORT THAT GOES INTO PRODUCING THEIR FEED. THE NATIONAL CORN GROWERS ASSOCIATION ANNOUNCING THE LATEST WINNER OF IT'S 2015 YIELD CONTEST. THIS YEAR'S WINNER SETTING A NEW CONTEST RECORD AND ALL TIME HIGH OF 532 BUSHELS PER ACRE. THE GROWER...DAVID HULA OF CHARLES CITY VIRGINIA.
NCGA SAYS FIVE NATIONAL ENTRIES SURPASSED THE 400-PLUS BUSHEL MARK.
SPEAKING OF DAIRY...CHARLES DENNEY HAS A CHEESY GIFT IDEA FROM TENNESSEE WHEN WE COME BACK.
IN THE COUNTRY:
THIS HOLIDAY, UNIVERSITY OF TENNESSEE FANS CAN BUY OR GIVE THE GIFT OF SCHOOL SPIRIT IN THE FORM OF A TASTY FOOD.
THE UNIVERSITY'S INSTITUTE OF AGRICULTURE AND A CORPORATE PARTNER ARE MAKING AND SELLING "ALL VOL CHEESE" FOR THE SEASON.
CHARLES DENNEY SHOWS US ALL THE FLAVORS, AND HAS MORE ON HOW THIS PRODUCT WILL BENEFIT STUDENTS AND THEIR DEPARTMENT.
BIG ORANGE SPIRIT SERVED UP A SLICE AT A TIME. THE UT INSTITUTE OF AGRICULTURE IS SAYING CHEESE THESE DAYS --SELLING AND LETTING PEOPLE SAMPLE "ALL VOL CHEESE," A NEW PRODUCT FROM THE FOOD SCIENCE DEPARTMENT AND UT AGRESEARCH. GIFT BOXES ARE NOW AVAILABLE JUST IN TIME FOR THE HOLIDAYS. "RIGHT, SO WE STARTED THIS EARLY IN THE SEMESTER, AND NOW WE HAVE THE PRODUCT AVAILABLE FOR THE CHRISTMAS SEASON, AND WE HAVE A GIFT PACK WHICH HOLD FOUR BARS, AND IT'S A GREAT GIFT FOR ALUMNI AND FRIENDS BECAUSE IT'S SOMETHING UNIQUE THAT YOU CAN'T GET ANYWHERE ELSE." "THE CHEESE PACKAGE MAKES A GREAT HOLIDAY GIFT ESPECIALLY BECAUSE THE STUDENTS ALL BENEFIT FROM THE SALES – SO PROCEEDS WILL GO TO THE FOOD SCIENCE DEPARTMENT AS WELL AS TO THE STUDENT CLUBS THAT SELL IT." FOOD SCIENCE DEPARTMENT HEAD MARK MORGAN AND JOY FISHER WITH UT AGRESEARCH HELPED DEVELOP 'ALL VOL CHEESE,' AND HERE THEY PACK BOXES TO SHIP. THE PRODUCT LINE COMES IN 10-OUNCE BARS, WITH FOUR FLAVORS OFFERED --CHECKERBOARD MILD CHEDDAR, GAME DAY SHARP CHEDDAR, SMOKEY'S SMOKED GOUDA AND TORCHBEARER JALAPENO.' "WHAT'S REALLY NICE ABOUT THE GIFT BOX IS THAT YOU CAN CUSTOMIZE THE GIFT BOX HOWEVER YOU WANT. SO IF YOU ARE REALLY A HOT CHEESE PERSON, YOU CAN PUT ALL JALAPENO IN THERE OR YOU CAN MIX AND MATCH, DEPENDING ON WHAT YOUR PREFERENCES ARE." "ALL VOL CHEESE' IS PART OF A PROGRAM AT UTIA CALLED 'AG INNOVATIONS.' HERE FACULTY, RESEARCHERS AND STUDENTS ARE ENCOURAGED TO TAKE THEIR IDEAS AND TURN THEM INTO NEW BUSINESS VENTURES." "WHAT WE'RE TRYING TO DO IS GET THE IDEAS AND THE TECHNOLOGIES THAT ARE BEING DEVELOPED HERE AT THE UNIVERSITY OUT INTO THE MARKET." UTIA HAS A VALUED CORPORATE PARTNER HERE AS WELL. 'ALL VOL CHEESE' IS MANUFACTURED AT SWEETWATER VALLEY FARM IN LOUDON COUNTY – A COMPANY KNOWN FOR ITS DAIRY PRODUCTS, AND A PLACE WHERE UTIA STUDENTS LEARN. "WE'VE HAD A GREAT MUTUAL RELATIONSHIP. OUR STUDENTS IN THE SENIOR COURSE, FOOD QUALITY ASSURANCE, HAVE GONE DOWN TO SWEETWATER VALLEY FARMS AND HELPED THEM WITH THEIR FOOD SAFETY PLANS, AND WE'VE EVEN HAD STUDENTS FROM HERE INTERN IN THEIR FACILITY HELPING TO MAKE CHEESE." MORGAN SAYS THE DEPARTMENT HOPES TO SELL A LOT OF 'ALL VOL CHEESE' THIS HOLIDAY SEASON, AND KEEP PRODUCING IT INTO 2016. AND WITH EACH SALE, THE UNIVERSITY GAINS A LITTLE VISIBILITY, AND SOME TASTY HOLIDAY CHEER IS SPREAD AS WELL. THIS IS CHARLES DENNEY REPORTING. THE 'ALL VOL CHEESE' SELLS FOR EIGHT-50 A BAR. BY THE WAY, CHUCK WILL JOIN US AGAIN FRIDAY AS WE BRING YOU OUR ANNUAL HOLIDAY SPECIAL -"CHRISTMAS IN THE COUNTRY". CHUCK WILL FEATURE THE PERSON WHO'S RESPONSIBLE FOR MUCH OF THE DECORATIONS AT THE FAMED "BILTMORE ESTATE".
WE'LL ALSO MEET AN OHIO FARMER WHO PLEDGES TO REMEMBER THE MEN AND WOMEN WHO SERVE IN OUR MILITARY EACH AND EVERY CHRISTMAS.
BE SURE TO GATHER-UP THE ENTIRE FAMILY THIS FRIDAY TO WATCH "CHRISTMAS IN THE COUNTRY" RIGHT HERE ON AGDAY.
CLOSING:
THAT'S ALL THE TIME WE HAVE THIS MORNING. WE'RE GLAD YOU TUNED IN. FOR MIKE HOFFMAN, AND ALL OF US AT AGDAY. I'M CLINTON GRIFFITHS. HAVE A
GREAT DAY. HIGH STRENGTH STEEL FOR HIGH STRENGTH DEPENDABILITY, THE CHEVY
SILVERADO IS THE OFFICIAL NEWS GATHERING VEHICLE OF AGDAY TELEVISION.
PROMO:
I'M CLINTON GRIFFITHS. AS WE APPROACH THE END OF ANOTHER YEAR, WE OFTEN THINK ABOUT TAX BILLS. JOIN US WEDNESDAY ON AGDAY WHEN MARKET ANALYST MARK GOLD SAYS DON'T BE AFRAID TO MAKE A PROFIT JUST TO SAVE ON TAXES. WATCH US WEEKDAYS HERE ON AGDAY.

 

Back to news


Comments

 
Spell Check

No comments have been posted to this News Article

Corn College TV Education Series

2014_Team_Shot_with_Logo

Get nearly 8 hours of educational video with Farm Journal's top agronomists. Produced in the field and neatly organized by topic, from spring prep to post-harvest. Order now!

Markets

Market Data provided by QTInfo.com
Brought to you by Beyer
Close