AgDay Daily Recap -Feb. 16, 2016

February 17, 2016 02:57 AM
 

TODAY ON AGDAY
FEB. 16, 2016


OPENING HEADLINES:
COMING UP TODAY ON AGDAY - A GIANT OF THE COURTS PASSES...WHAT DOES IT MEAN FOR FARM COUNTRY?
IN AGRIBUSINESS... CME UPDATES ITS LIVESTOCK HOURS.
"I DON’T THINK THE VOLATILITY ITSELF IS GOING AWAY ANYTIME SOON BUT YOU’RE NOT GOING TO BE LEFT WITH THESE ERRATIC MOVES IN WHAT WAS AN AFTER-HOURS TRADE."
WHAT THE SCALIA’S DEATH MEANS FOR AGRICULTURE:
GOOD MORNING I'M CLINTON GRIFFITHS. WITH THE DEATH OF SUPREME COURT JUSTICE ANTONIN SCALIA, THE LOSS HAS REPERCUSSIONS RUMBLING FROM CAPITOL HILL TO FARM COUNTRY.
A LONG-TERM CONSERVATIVE JUSTICE WHO HAS SERVED ON THE HIGHEST COURT HAS DIED, PUTTING WASHINGTON IN A FRENZY.
SUPREME COURT JUSTICE ANTONIN SCALIA DIED OVER THE WEEKEND. SCALIA WAS IN TEXAS FOR A HUNTING TRIP. IT'S REPORTED HE DIED OF NATURAL CAUSES. 
WITH HIS DEATH, THAT LEAVES THE SUPREME COURT EVENLY DIVIDED -FOUR CONSERVATIVES, FOUR LIBERALS. SEVERAL OF THE CASES PENDING BEFORE THE HIGH COURT HAVE A DIRECT CONNECTION TO AGRICULTURE. NATIONAL REPORTER BETSY JIBBEN HAS BEEN LOOKING INTO THAT ANGLE OF THE STORY BETSY.
AGRICULTURE IN THE SUPREME COURT:
THE 79-YEAR-OLD WAS APPOINTED TO THE HIGHEST COURT DURING PRESIDENT RONALD REAGAN'S ERA. THE NEWS OF THIS DEATH HAS PUT THE POLICIAL WORLD UP-IN-ARMS.
JUSTICE ANN-TA-IN SKA-LEE-AH WAS VOTED UNANIMOUSLY BY THE SENATE IN 1986 TO SIT ON THE
HIGHEST COURT. NOW, WASHINGTON IS FIGHTING OVER FILLING HIS CHAIR.
LAW AND TAXATION EXPERTS SAY SCALIA WAS INVOLVED IN MANY KEY PROPERTY RIGHTS CASES.
"THAT'S IMPORTANT FOR PROPERTY OWNERS AND AG. LANDOWNERS IN PARTICULAR BECAUSE LAND MAKES UP THE LARGEST IN DOLLAR VALUE OF WHAT RURAL LANDOWNERS OWN AND AN UPHOLDER OF PROPERTY RIGHTS. THOSE CASES ALSO INVOLVED THE SECOND AMENDMENT WHICH IS IMPORTANT TO RURAL LANDOWNERS."

MCEOWEN SAYS THE SUPREME COURT IS EXPECTED TO TAKE UP SEVERAL KEY AG ISSUES IN THE FUTURE…INVOLVING THE ENVIRONMENT AND PROPERTY RIGHTS.
THOSE LAWS MAY HAVE DIFFERENT OUTCOMES DEPENDING ON HOW THE VACANCY IS HANDLED.
HE EXPECTS A CASE OVER CARBON POLLUTION COULD LIKELY HEAD TO THE SUPREME COURT, AS WELL AS A CASE OVER WHETHER MANURE USED AS FERTILIZER IS A 'HAZARDOUS WASTE.'
MCEOWEN SAYS IF SCALIA'S CHAIR IS LEFT EMPTY, AND THE SUPREME COURT HAS A TIE-VOTE, THE LOWER COURT'S DECISION STANDS-THAT COURT'S OPINION IS
LAW.
THANKS BETSY.
CLEAN WATER ACT GOES TO SUPREME COURT:
MCEOWEN SAYS THE SUPREME COURT *IS* TAKING UP A CASE WITHIN THE 8TH CIRCUIT DEALING WITH THE CLEAN WATER ACT. THAT CASE DETERMINES THE GOVERNMENT'S JURISDICTION OVER WETLANDS.
THERE'S PLENTY OF WORK FOR THE COURTS IN 2016.
INCLUDING QUESTIONS ABOUT THE EPA'S RECENT RENEWABLE FUEL STANDARD DECISION.
THE NATIONAL FARMERS UNION FILING A PETITION WITH THE U.S. COURT OF APPEALS TO JOIN A COALITION SEEKING A COURT REVIEW OF THE RFS.
UNION PRESIDENT CALLS FOR REVIEW GENERAL WAIVER:
THE PETITION FOCUSES ON EPA'S FINAL VOLUME TARGETS FOR 2014, 2015 AND 2016.
UNION PRESIDENT ROGER JOHNSON NOTED THAT EPA SET RENEWABLE FUEL VOLUME TARGETS WELL BELOW AMOUNTS REQUIRED BY LAW.
JOHNSON SAYS QUOTE "WE BELIEVE THE EPA'S FINAL RULE AND INTERPRETATION OF THEIR GENERAL WAIVER AUTHORITY IS WRONG AND REQUIRES LEGAL REVIEW."
EPA HEAD FACES TOUGH QUESTIONS ON WOTUS:
IT'S BEEN A TOUGH START TO THE NEW YEAR FOR E-P-A AND ITS LEADERSHIP.
AS WE MENTIONED LAST WEEK EPA HEAD, GINA MCCARTHY TAKING TOUGH QUESTIONS ON CAPITOL HILL.
THE HEARING LASTING NEARLY 3 HOURS SAW PLENTY OF STRONGLY WORDED QUESTIONS AND RETORTS FROM LAWMAKERS ON THE HOUSE AGRICULTURE COMMITTEE.
IT'S WATERS OF THE U.S. RULE A MAJOR POINT OF CONTENTION.
WOTUS AIM IS FOR CLARITY:
WATER IS HYDRO-LOGICALLY CONNECTED TOO. YOU'RE FAMILIAR WITH THAT PHRASE. YOU'RE ALSO FAMILIAR WITH THE PHRASE SIGNIFICANT NEXIS. YES. NOW, WOULD YOU HAVE A JUDGEMENT ON WHICH ONE IS MOST AMBIGUOUS. THE CLEAN WATER RULE ACTUALLY TRIES TO PROVIDE CLARITY TO BOTH OF THOSE. THE AMBIGUITY AROSE WHEN THE SUPREME COURT ACTUALLY RAISED THESE ISSUES AND SUGGESTED THE EPA NEEDED TO RESOLVE THESE. THAT'S WHAT THE CLEAN WATER RULE IS ALL ABOUT.
FUTURE OF CROP INSURANCE:
USDA SECRETARY TOM VILSACK ALSO ANSWERING TO LAWMAKERS. DURING HEARINGS LAST WEEK, THE SECRETARY FIELDING QUESTIONS ABOUT THE PRESIDENT'S PROPOSED BUDGET.
IT RECOMMENDS REDUCING CROP INSURANCE BY SOME $18 BILLION OVER 10 YEARS, OR $1.8 BILLION A YEAR. VILSACK CALLING CROP INSURANCE A PARTNERSHIP BETWEEN FARMERS, TAXPAYERS AND INSURANCE COMPANIES. HE SAYS USDA IS PROPOSING A QUOTE "BETTER, MORE EQUITABLE PARTNERSHIP," WHERE INSTEAD OF INSURING 62 PERCENT OF THE PREMIUM FOR PRICE HARVEST LOSS, USDA WOULD SUPPORT JUST OVER 50 PERCENT.
CROP COMMENTS: 
NOW LET'S CHECK IN WITH MIKE HOFFMAN FOR THIS MORNING'S CROP COMMENTS. MIKE. GOOD MORNING, CLINTON.
CROP COMMENTS BEGINS OUT WEST WHERE ALMOND TREES ARE STARTING THEIR BLOOM.
WE HEARD FROM A CROP SONSULTANT IN BAKERSFIELD, CALIFORNIA WHO SAYS MOST ALMOND TREES IN HIS AREA HAVE ABOUT TEN-PERCENT BLOOMS. BUT SOME VARIETIES ARE AS HIGH AS 30PERCENT. 
TEMPS HAVE BEEN IN THE LOW 70'S, WHICH REALLY PUSHED THE BLOOM ALONG.
PITCH TO WEATHER:
NOW LET’T TAKE A LOOK AT THE CURRENT WEATHER MAP WE HAVE A BIG STORM SYSTEM MOVING UP THE EASTERN SEABOARD WITH RAIN AND SNOW WE’LL LET YOU KNOW WHERE THAT STORM IS HEADED AND WE’LL ALSO HAVE YOUR FORECAST BUT NOW HERE ARE SOME HOMETOWN TEMPS

TEASE:
ALRIGHT WHEN AGDAY CONTINUES, A LOOK AT THE RECENT CHANGES TO LIVESTOCK TRADING HOURS AND WHAT IT ALL MEANS FOR PRICES IN THE YEAR AHEAD.

AND WE'LL MEET AN AMERICAN PATRIOT WHO SERVED HIS COUNTRY IN WAR-TIME. AND NOW HE'S SERVING FARM COUNTRY WITH THAT SAME CAN-DO SPIRIT.
CME:
U.S. MARKETS WERE CLOSED MONDAY IN HONOR OF PRESIDENT'S DAY. LATER THIS MONTH, LIVESTOCK CONTRACTS WILL SEE NEW TRADING HOURS AT THE CME.
IT'S PART OF AN EFFORT TO ADJUST TRADE AND REDUCE VOLATILITY.
TYNE MORGAN JOINS US TO DISCUSS THE CHANGES AND THE POTENTIAL TO IMPACT CATTLE TRADE.
AGRIBUSINESS:
WE’RE HERE NOW WITH JOE VACLAVIK WITH STANDARD GRAIN. JOE INTERESTING MOVE BY CME, THEY'RE PROPOSING TO REDUCE THE LIVESTOCK TRADING HOURS. IN YOUR MIND IS THIS GOING TO HELP OR HINDER THE LIVESTOCK MARKET. IT WILL HELP THE LIVESTOCK MARKETS. ESSENTIALLY WHAT CME DID WAS THEY TOOK A TRADING SESSION THAT DURING THE WEEK WENT FROM 8 CENTRAL TIME ALL THE WAY TO 4 IN THE AFTERNOON. AT 1 CENTRAL THEY WOULD POST THE SETTLEMENT, THEN TRADE THE MARKET FOR ANOTHER 3 HOURS WITHIN THAT EXTRA 3 HOURS WHAT WE SAW WAS VERY POOR LIQUIDITY, WE SAW ERRATIC MOVEMENT SOMETIMES BECAUSE OF THAT POOR LIQUIDITY. SO I THINK THE FACT THAT THEY'RE GOING TO CONSOLIDATE THE TRADE INTO A SMALLER TIME FRAME AND ELIMINATE THAT REALLY WHAT I SAW WAS A NEEDLESS AFTERNOON SESSION. I THINK IT'S A GOOD THING. SO YOU DO THINK THAT THIS WILL REDUCE THE TREMENDOUS VOLATILITY WE'VE SEEN IN THESE LIVESTOCK MARKETS. I WOULD SAY TO SOME EXTENT YEAH, BECAUSE WE'RE GONNA CONCENTRATE THE LIQUIDITY, WE'RE GONNA CONCENTRATE THE VOLUME WITHIN A SMALLER WINDER.
NATIONAL WEATHER:
WELCOME BACK TO AGDAY METEOROLOGIST MIKE HOFFMAN. MIKE LAST WEEK PRETTY COLD. ENDED THE WEEK COLD BUT HOPEFULLY STARTING TO SEE A BIT OF A WARM UP. YES IT LOOKS LIKE ESPECIALLY BY THE END OF THE WEEK WE DO HAVE ONE MORE COLD FRONT ON THE CANADIAN BORDER DROPPING SOUTH WE'LL KIND OF SLOW THE DOWN THE WARM UP A LITTLE BIT. HOWEVER LET ME POINT OUT THAT WE DO HAVE AT LEAST A MODERATING TREND ACROSS MOST OF THE CORN BELT BECAUSE THESE TWO COLD FRONTS ARE PACIFIC AIR NOT ARCTIC AIR.
REGIONAL WEATHER:
THAT'S A LOOK ACROSS THE COUNTRY NOW LETS TAKE A LOOK AT SOME LOCAL FORECASTS. FIRST OF ALL FOR KINGMAN ARIZONA LOTS OF SUNSHINE AND NICE TODAY. HIGH TEMPERATURE OF 75 DEGREES. ALBERT LEE MINNESOTA CLOUDY WITH SOME LIGHT SNOW AT TIMES. HIGH TEMPERATURE UP TO 33 AND LONDON KENTUCKY. CLOUDY WITH JUST A BIT OF RAIN ONCE IN WHILE HIGH AROUND 41 DEGREES.
TEASE:
WHEN WE COME BACK, WE'LL FOCUS ON THE BUMPY FUTURE OF DAIRY PRICES...AND WHAT ANALYSTS ARE FORECASTING FOR 2016.
AND IF YOU'RE HAVING A DIFFICULT TIME FINDING A CAPABLE FARM-HAND, YOU MIGHT THINK ABOUT HIRING A MILITARY VETERAN.
WE'LL TELL YOU WHY, LATER ON AGDAY.
GLOBAL DAIRY PRICES FEEL THE PRESSURE OF GLOBAL MARKETS:
FROM OUR REPORTING PARTNERS IN FARM JOURNAL'S DAIRY SECTOR...
DAIRY PRICES CONTINUE TO PUT PRESSURE ON OPERATIONS ACROSS THE GLOBE. THE LATEST CENTRAL ORDER MILK PRICES SHOWING A DOLLAR AND HALF DROP FROM DECEMBER TO JANUARY.
JANUARY PRICING NOW SITTING BELOW 16-DOLLARS. THE BIGGEST PART OF THE DECLINE COMING FROM A 60CENT PER POUND DROP IN BUTTERFAT.
IT'S NOT JUST HERE AT HOME, BUT GLOBAL SUPPLIES ARE HELPING TO PUSH MARKETS LOWER.
LAST WEEK, PRICES AT THE GLOBAL DAIRY TRADE AUCTION IN NEW ZEALAND DROPPED MORE THAN 7 PERCENT.
MIKE NORTH OF COMMODITY RISK MANAGEMENT GROUP SAYS COUNTRIES LIKE NETHERLANDS AND IRELAND KEEP PUMPING OUT MORE MILK, WITH NO HOME FOR NEW PRODUCTS.
AGRICULTURE BECOMES SOUL FOOD FOR VETS:
THE AMERICAN FARM BUREAU IS TAPPING INTO AN UNLIKELY RESOURCE TO HELP DEVELOP THE NEXT GENERATION OF FARMERS. THROUGH A PROGRAM CALLED "THE PATRIOT PROJECT", A-F-B-F IS HELPING MILITARY VETERANS WHO ARE INTERESTED IN AGRICULTURAL CAREERS.
IN THIS STORY PROVIDED BY THE ARKANSAS FARM BUREAU, KEN MOORE TELLS US ABOUT THE TRANSITION FROM BATTLE FIELD TO FARM FIELD.
CLOSING:
IN ADDITION TO THE FARM BUREAU'S PATRIOT PROJECT, YOU CAN ALSO TURN TO THE FARMER VETERAN COALITION WHICH IS ALSO HELPING MILITARY VETS WORK IN AGRICULTURE.
THAT'S ALL THE TIME WE HAVE THIS MORNING. WE'RE GLAD YOU TUNED IN.
FOR BETSY JIBBEN, TYNE MORGAN, AND MIKE HOFFMAN, I'M CLINTON GRIFFITHS. HAVE A GREAT DAY.
PROMO:

I'M CLINTON GRIFFITHS. WEDNESDAY ON AGDAY LEASING OR BUYING FARM EQUIPMENT -WHAT'S A BETTER OPTION FOR YOUR FARM?
AND WE SEE HOW A RELIGIOUS ORDER PUTS A LOT OF "FAITH" IN HOME-MADE BREW. WATCH US WEEKDAYS FOR AGDAY.

 

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