AgDay Daily Recap -January 12, 2017

August 16, 2016 02:57 AM
 
AgDay

TODAY ON AGDAY
JANUARY 12, 2016


HEADLINES
COMING UP TODAY ON AGDAY - CATTLE MARKET FRUSTRATIONS. "I'M MICHELLE  ROOK.  CATTLE PRODUCERS STAY THE CATTLE FUTURES MARKET IS BROKEN.  WE'LL FIND OUT WHY TODAY ON  AGDAY." IN AGRIBUSINESS...CHARTING A COURSE FOR SOYBEAN AND WHEAT  PRICES. IT'S ALWAYS ONE WEATHER REPORT FROM SOUTH AMERICA AWAY FROM  A TWENTY CENT DAY UP. RETAIL BEEF PRICES ARE DROPPING AND THAT'S  ENTICING MORE DEMAND AT THE STORE. AND BUYING A DRONE FOR SELFIE REASONS. WE'LL LOOK AT NEW TECHNOLOGY MAKING ITS WAY TO STORES.  AGDAY-BROUGHT TO YOU BY THE DEPENDABLE, LONG LASTING CHEVY  SILVERADO.

CATTLE COMPLEX
GOOD MORNING I'M CLINTON GRIFFITHS. CATTLE FUTURES SEEING RED WEDNESDAY FOLLOWING STRONG MARKET  ACTION DURING TUESDAY'S SESSION. ANALYSTS AT TOP THIRD SAY THIS WEEK SAW THE BIGGEST TWO RALLY IN THE  CATTLE COMPLEX SINCE THE LOWS IN OCTOBER. BEFORE WEDNESDAY, A 5 DOLLAR 50 CENT RALLY IN FEBRUARY LIVE CATTLE AND  A 7 DOLLAR RALLY IN MARCH FEEDERS IN LESS THAN TWO DAYS.  MARKETS PUSHING TO FRESH MULTI-MONTH HIGHS NEARLY ACROSS THE BOARD. HOWEVER, AS 2016 TAUGHT CATTLEMEN, MARKETS CAN FALL AS FAST AS THEY  RISE. IN FACT, LAST YEAR MAY GO DOWN AS ONE OF THE WORST IN HISTORY FOR THE  CATTLE INDUSTRY WITH LOSSES AS HIGH AS $700 TO $800.  USING FUTURES WERE A CHALLENGE DUE TO VOLATILE SWINGS UP AND DOWN. CATTLEMEN SAY THE PROBLEM STARTED WHEN THE FUTURES WENT  ELECTRONIC ALLOWING HIGH FREQUENCY TRADERS TO MANIPULATE THE  MARKET.   SO FOR THE LAST YEAR NCBA HAS BEEN WORKING WITH THE CME GROUP TO  PINPOINT THE PROBLEM AND FIND A SOLUTION.   MICHELLE ROOK HAS MORE.    VOLATILITY HAS PLAGUED THE CATTLE MARKET FOR THE LAST 18 MONTHS LEADING MANY CATTLE  PRODUCERS TO CLAIM THE FUTURES MARKET IS BROKEN….INCLUDING BRAD KOOIMA, WHO SERVES ON  THE NCBA WORKING GROUP ADDRESSING THE ISSUE.  BRAD KOOIMA, CATTLE FEEDER/KOOMIA AND KAEMINGK COMMODITIES, "I MEAN ANYBODY  THAT LIVED THROUGH LAST YEAR WHERE LITERALLY YOU GET UP TO GET A CUP OF COFFEE AND THE MARKET  CHANGES $2.50 A HUNDRED, ARE YOU KIDDING?"  "A 41-PERCENT CHANGE IN PRICE FOR NO REASON." LEADING THE GROUP IS NEBRASKA CATTLEMAN CRAIG UDEN WHO RECENTLY SPOKE TO SOUTH DAKOTA  PRODUCERS ABOUT THE SOLUTIONS THEY'RE WORKING ON.   CRAIG UDEN, NCBA WORKING GROUP CHAIR, "PRICE DISCOVERY, VOLATILITY AND CONTRACT SPECS  AND DELIVERY POINTS BEING THE THIRD."   UDEN TOLD PRODUCERS ALGORITHM TRADERS ARE CAUSING THE VOLATILITY AND SO THEY'VE ASKED CME  FOR AN AUDIT TRAIL.   DAVID LEHMAN, CME GROUP, "WE CAN'T DISCLOSE WHO IS HOLDING POSITIONS OR WHO IS  TRADING IN OUR MARKETS.  WE'RE PROHIBITED BY FEDERAL LAW, BY OUR CFTC REGULATIONS FROM  DISCLOSING THAT."  THEY ARE ALSO WORKING WITH THE CME TO CHANGE THE CONTRACT SPECS.    UDEN, "WE THINK WE CAN ADDRESS SOME OF THE VOLATILITY BY MAKING THE CONTRACT MORE UNIFORM  AND MORE REPRESENTATIVE OF THE CATTLE WE PRODUCE."  MICHELLE STANDUP – BEYOND THE ISSUES WITH THE FUTURES, CATTLE PRODUCERS SAY THE OTHER  THING THAT'S BROKEN ABOUT THE CATTLE MARKET IS THE LACK OF CASH TRANSPARENCY.  TO ADDRESS THAT THE INDUSTRY IS ENCOURAGING LESS CONTRACTING DIRECTLY WITH PACKERS.  PLUS,  THEY STARTED AN ONLINE TRADING EXCHANGE. KOOIMA, "I THINK THE ORGANIZATION IS GOING TO PUSH HARDER TO SAY WE'VE GOT TO HAVE A VIABLE  CASH MARKET SO WE CAN ALSO FIGURE OUT WHAT A VIABLE FUTURES MARKET OUGHT TO LOOK LIKE."   IN TURN, THE CME PROPOSED A CASH SETTLED INDEX FOR THE LIVE CATTLE FUTURES, WHICH THE INDUSTRY  OPPOSES.LEHMAN, "SO WHAT WE'RE LOOKING AT IS TAKING THOSE FORMULA REPORTS THAT USDA COLLECTS FROM  THE PACKERS AND THEN REPORTS BACK TO THE PUBLIC AND SEEING IF WE CAN USE THOSE TO CREATE AN  INDEX."PAST SOUTH DAKOTA CATTLEMEN'S PRESIDENT TODD WILKINSON SAYS WHATEVER THE FIX, IT NEEDS TO  BE DONE SOON SO PRODUCERS HAVE A VIABLE PRICE RISK TOOL.   TODD WILKINSON, PAST SD CATTLEMEN'S ASSOCIATION PRESIDENT, "THE VOLATILITY OF THE  CME HAS MADE IT ALMOST IMPOSSIBLE FOR A PRODUCER TO EFFECTIVELY MANAGE THEIR RISK."   AND WITHOUT THAT INSURANCE HE SAYS MORE CATTLE PRODUCERS WILL BE FORCED OUT OF BUSINESS.  I'M  MICHELLE ROOK REPORTING FOR AGDAY.  THANKS MICHELLE. THE CME HAS ALSO PROPOSED A HYBRID DELIVERY SYSTEM FOR LIVE CATTLE-- WHERE CERTAIN AREAS OF THE COUNTRY WOULD USE SALE BARNS FOR  DELIVERY POINTS AND OTHER AREAS WOULD USE FEEDLOTS.   ALL OF THESE PROPOSALS ARE STILL UNDER REVIEW.   CATTLEMEN AND OTHER LIVESTOCK FEEDERS SHOULD SEE A MAJOR  COMPONENT OF FEED START TO DROP IN PRICES.

COTTON SEED PRODUCTION
USDA SAYS 2016 COTTONSEED PRODUCTION IS EXPECTED TO TOP 5 MILLION  TONS..THAT'S UP 13 PERCENT YEAR OVER YEAR. MORE THAN 3 MILLION OF THAT WILL BE AVAILABLE FOR FEED. COTTONSEED EXPERTS IN WISCONSIN SAY COTTONSEED PRICS ARE 60 TO 80  DOLLARS PER TON LOWER THAN A YEAR AGO.

CHINA ADDING IMPORT TAX TO DDGS
ANOTHER TYPE OF CATTLE FEED FINDING ITS WAY INTO A TUG OF WAR BETWEEN  THE U.S. AND CHINA. THE U.S. GRAINS COUNCIL SAYS CHINA'S MINISTRY OF COMMERCE SAYS ITS  PLANS TO ADD IMPORT TAXES ON U.S. DDG'S. THE COUNTRY SAYS THE U.S. IS QUOTE 'DUMPING' FEDERALLY SUBSIDIZED  DISTILLERS DRIED GRAINS WITH SOLUABLES. THE U.S. GRAINS COUNCIL SAYS ITS DEEPLY DISAPPOINTED AND THE EVIDENCE  REGARDING THESE CLAIMS RAISE SERIOUS QUESTIONS' ABOUT CHINA'S  INTERNATIONAL OBLIGATIONS. USGC SAYS "PROTECTIONIST TRADE RESTRICTIONS BASED ON FALSE  ALLEGATIONS DO NOT BENEFIT EITHER CHINA OR THE UNITED STATES AND  REPRESENT A THREAT TO A GLOBAL TRADING SYSTEM. 

SENATE CONFORMATION HEARINGS
WE'RE A LITTLE MORE THAN A WEEK AWAY FROM THE PRESIDENTIAL  INAUGURATION AND MOST OF INCOMING CABINET HAS BEEN SELECTED.  CONFIRMATION HEARINGS ARE UNDERWAY. HOWEVER THE NEXT HEAD OF THE  AG DEPARTMENT IS STILL UNCLEAR. DURING PRESIDENT-ELECT TRUMPS NEWS CONFERENCE WEDNESDAY, THERE  WAS NO MENTION OF THE LAST UN-FILLED CABINET POST. THIS CABINET PROCESS PLAYS OUT EVERY PRESIDENTIAL ELECTION CYCLE.  DURING THE FARM BUREAU CONVENTION THIS WEEK, AGRITALK RADIO HOST  MIKE ADAMS DISCUSSED THE TRANSITION WITH MARY KAY THATCHER - SHE'S  AMERICAN FARM BUREAU'S SENIOR DIRECTOR OF CONGRESSIONAL RELATIONS.   THE TRUMP ADMINISTRATION. THE TRUMP INFLUENCE IS ANOTHER WILD CARD THAT'LL BE IN IN THIS FARM BILL.  UNLIKE WHAT WE'VE SEEN IN SOME PAST ONE IT IS A WILD CARD. YOU KNOW WE GOT IN SOME  RESPECTS VERY SPOILED BY HAVING SECRETARY VILSACK THERE FOR EIGHT YEARS BECAUSE YOU'RE PRETTY  MUCH KNEW WHAT HE WAS GOING TO THINK ABOUT SOMETHING YOU KNOW. NOW WE HAVE A WHOLE  NEW BALL OF WAX EVEN WHEN WE GET THE NEW SECRETARY WE MAY NOT KNOW THAT PERSON WELL  ENOUGH TO HAVE ANY FEEL FOR WHERE THEY'RE GOING AND OF COURSE THEN YOU'VE GOT ALL THESE YOU  KNOW UNDER SECRETARIES THAT HAVE A WHOLE LOT TO SAY ABOUT WHAT HAPPENS THERE TOO SO WE'LL  SPEND A LOT OF THE TIME IN THE FIRST SIX MONTHS OF THIS YEAR JUST GETTING TO KNOW THE NEW  MEMBERS AT USDA THE NEW POLITICAL APPOINTEES TRYING TO UNDERSTAND THEM TRYING TO BUILD TRUST  WITH THEM SO THAT IT IS A GOOD PARTNERSHIP. BUT A LOT OF WILL BE JUST TRYING TO FIGURE OUT WHERE  THEY GO ON AND WHY WHAT ARE THEIR PERSONAL BELIEFS ON THESE THINGS.

MEXICO WILLING TO RENEGOTIATE NAFTA
TURNING TO TRADE - MEXICO'S NEW FOREIGN RELATIONS SECRETARY SAYS THE  COUNTRY IS WILLING TO RE-NEGOTIATE THE NORTH AMERICAN FREE TRADE  AGREEMENT....AND WANTS TO START TALKS QUICKLY. THE FOREIGN RELATIONS MINISTER SAYS THERE'S ENORMOUS UNCERTAINTY IN  MEXICO FOLLOWING THE ELECTION OF DONALD TRUMP. HE SAYS THE  GOVERNMENT WANTS TO START NAFTA NEGOTIATIONS TO HELP DISPEL THE  UNCERTAINTY.

CROP COMMENTS
CROP COMMENTS IS POWERED BY RESICORE HERBICIDE FOR CORN, FROM  DOW AGROSCIENCES. WINTER WEATHER ALWAYS INTERESTING... MIKE HOFFMAN JOINS US NOW WITH A  LOOK AT CROP COMMENTS. MIKE.  GOOD MORNING, CLINTON.  TEMPERATURES ARE IN THE SINGLE DIGITS IN SOME PLACES IN NORTHEAST  SOUTH DAKOTA. JASON FRERICHS SAYS THE CATTLE ARE GOING THROUGH MORE FEED THAN NORMAL JUST TO KEEP WARM.  AND LET'S HEAD ON OVER TO LAKE ODESSA, MICHIGIAN.  THIS IS OUTSIDE OF THE LAKE ODESSA LIVESTOCK AUCTION.  WHILE IT WAS A GOOD DAY TO BE AT THE SALES BARN, THE WEATHER WASN'T AS  NICE.THE AREA IS EXPERIENCING SOME SNOW AND RAIN SHOWERS THIS WEEK. AND  TAKING A LOOK AT THE WEATHER MAP YOU CAN SEE A PRETTY BIG SYSTEM  MOVING THROUGH THE NORTHEAST AND COLDER AIR DIVING INTO THE  NORTHERN PLAINS WITH YET ANOTHER SOTRM SYSTEM COMING IN OUT WEST  WE'LL PUT IT ALL TOGETHER WITH MY FORECAST BUT FIRST HERE ARE SOME  HOMETOWN TEMPS.

TEASE
WHEN WE COME BACK WE'LL LOOK AT WHAT THE CHARTS TELL US ABOUT  SOYBEAN AND WHEAT PRICES IN THE MONTHS AHEAD. AND YOU MIGHT NOT BELIEVE HOW SIMPLE SOME PERSONAL-USE DRONES HAVE  BECOME...AND HOW THEY'RE BEING USED. DETAILS AS WE HEAD IN THE  COUNTRY. HERE'S THE SECRET TO SELLING OLD EQUIPMENT. PETE'S PICK OF THE WEEK LETS YOU EASILY VIEW  CURRENT MARKET PRICES. JUST TEXT PETE TO 31313 TO GET STARTED! 

FLOOR OF THE CME
IN AGRIBUSINESS ANOTHER MIXED DAY FOR MARKETS. LETS GET THOSE DETAILS  FROM THE FLOOR OF THE CME IN CHICAGO. WEDNESDAY GRAINS WE SEE KIND OF SOFT PRICES PRETTY MUCH ACROSS THE BOARD. I THINK WHEN  YOU'RE LOOKING AT THE OVERALL I THINK EITHER WE EXPECTED THE SOFT PRICES IN CORN AND WHEAT AS  THEY BOTH PULLED BACK IN FRONT OF TOMORROW'S REPORT. BESIDES THE FACT THAT WE'RE UP AT A  RESISTANCE LEVEL. I THINK WHAT YOU'RE LOOKING AT IN SOYBEANS I THINK THEY DID A NICE JOB ONCE  AGAIN HOLDING THAT  TEN DOLLAR LEVEL AS THEY  WERE ALL THE WAY DOWN TO TEN AND NOW A RALLY. BUT  A LOT OF QUIET TRADE WEDNESDAY'S LIVESTOCK TAKE A LOOK AND WHAT WE'RE SEEING HERE IS HOGS  CONTINUE TO BE UNBELIEVEABLY STRONG BUT I THINK WHAT YOU WANT TO LOOK FOR NOW HERE IS SIXTY  SIX FIFTY WE PULLED RIGHT DOWN TO THE BOTTOM END OF THE CHANNEL THE OTHER DAY HELD SUPPORT  AND NOW A RALLY. I THINK SIXTY SIX FIFTY IS THE SPOT TO SELL I BELIEVE THAT HOGS HAVE SEEN THEIR  BETTER DAYS AND WILL START TO GO LOWER. I THINK OVERALL WE'LL BE LOOKING TO BUY THEM LATER BUT FIRST  YOU GOTTA SEE THEM SOMEWHERE DOWN IN THE SIXTY LEVEL.  THAT'S THE WAY I SEE IT.  THIS IS TODD HORWICZ OF BUBBA TRADING DOT COM COMING TO YOU FROM THE FLOOR OF THE CME GROUP IN CHICAGO. 

AGRIBUSINESS
MIKE FLORES FLORES TRADING OUR GUEST HERE AT THE BUSINESS TODAY MIKE WE HAD YOU ON TALKING  ABOUT CORN IN FEEL PRETTY GOOD ABOUT CORN WHAT ABOUT SOYBEANS AND SOME OF OUR OTHER GRAINS  WELL THE SOYBEANS ARE I THINK THIS YEAR WILL BE MAYBE A BIT OF A FOLLOWER AS OPPOSED TO THE  LEADER. BUT YET YOU LOOK IT WAS GOING ON THAT THE ONLY NEGATIVE THAT YOU HAVE ARE THE STOCKS  AND YET IN WE'VE PROVING THAT WE CAN WE CAN THEY WANT THEM YOU KNOW SO TO ME SOYBEANS  ARE GOING TO BE MORE OF A TRADING MARKET. THEY'RE KIND OF THE LOW END OF THE MARKET RIGHT HERE  SO I THINK I'M LONG THE MARKET RIGHT NOW VIA CALLS AND I THINK THAT WELL I THINK WE'VE GOT A  TRADING RALLY COMING UP PROBABLY SOMEWHERE AROUND TEN FORTY TO FIFTY ON THIS LITTLE CYCLE THAT  WE'RE IN. ANY TECHNICAL CHALLENGES FOR BEANS WELL THERE 'S A NOT REALLY BECAUSE THEY'RE THE  THERE 'S SOME WHAT IN A RANGE JUST LIKE CORN HAS BEEN ALL THAT IS DEFINED IN YOU HAVE A HIGHER  HIGHS AND HIGHER LOWS ON BEANS BUT I THINK THAT THE SOYBEAN MARKET IT 'S IT 'S ALL WE WERE  ALWAYS ONE WEATHER REPORT FROM SOUTH AMERICA AWAY FROM IN TWENTY SET DAY UP AND SO IT 'S IT  'S A MUCH MORE ARE SCATTERED KIND OF MARKET YOU HAVE TO DEAL WITH THAT IF THE DEAL HAS ONLY  EVER USE OPTIONS FOR THE MOST PART WHEN TRADING SOYBEANS FOR BUT MY TECHNICALS ARE SAYING  YOU SHOULD BE BUYING THIS DIP NOW WE'VE JUST COME THROUGH ABOUT OH WHAT A FIFTY CENT OR SO  BREAK I THINK THAT 'S PROBABLY ABOUT ALL YOU'RE GOING TO GET OKAY LET 'S TALK ABOUT WHEAT I KNOW WEATHER 'S BEEN TOUGH WE'VE GOT SOME CONDITION RATINGS ON THE WINTER WHEAT CROP LOOK A  PRETTY TOUGH SEEDINGS COMES OUT HERE PRETTY QUICK WHAT YOUR THOUGHTS ON THE WHEAT MARKET  WELL YOU LOOK AT ANY FUNDAMENTAL ON ANY OF THE GRAINS IT 'S HARD TO GET BULLISH YOU KNOW BUT  THERE ALWAYS THAT WAY AT LOWS AND I THINK WHEAT IT IS IS I THINK WILL PROBABLY END UP STILL BEING  LONG TERM THIS IS THE LAGGER OF THE GROUP BECAUSE THERE 'S A LOT OF OTHER PLACES YOU CAN GROW  WHEAT WHERE AS SOYBEANS AND CORN IT 'S A LESSER AREA BUT NONETHELESS I THINK WHEAT CAN  PROBABLY START TO MOVE UP AS WELL AND I'D RATHER SPECULATE ON OTHER MARKETS AS OPPOSED TO  WHEAT BUT YOU KNOW IT 'S GOING TO BE A FOLLOWER OK SO BUT FEWER ACRES THEY SHOULD HELP GIVE  THEM A LITTLE STRENGHT DEFINETLY FEWER ACRES SO YES THERE 'S THINGS DEVELOP OVER TIME SO IT 'S IT  'S KIND OF THE SAME THING AS ALL THE GRAINS I THINK ARE VIEWED BY THE WORLD IS BEING CHEAP IN  THIS TREMENDOUS DEMAND FOR ALL OF THEM AT ALL SEE THAT GOING AWAY ANYTIME SOON SO IT DO NOT  BE SHORT ANY OF THE GRAINS ALRIGHT GOOD PERSPECTIVE THINK MIKE WILL BE BACK WITH MORE AGDAY IN JUST A MINUTE FOR A FREE TWO WEEK TRIAL TO MIKE'S TRADING RECOMMENDATIONS CALL  FLOREZ TRADING AT 800-841-2108.

WEATHER
AGDAY WEATHER - BROUGHT TO YOU BY ILEVO SEED TREATMENT FROM BAYER. WELCOME BACK TO TO AGDAY HERE WITH METEOROLOGIST MIKE HOFFMAN MIKE AS WE LOOK IN THE  WEATHER MAP HERE MIDWEEK THERE 'S PLENTY TO TALK ABOUT A LOT OF SYSTEMS MOVING AND YEAH THERE REALLY IS AND THERE'S A HUGE DIFFERENCE IN TEMPERATURES FROM NORTH TO SOUTH IN THE LOWER FORTY EIGHT AND THAT MAKES A BIG DIFFERENCE IN WHAT PRECIPITATION FALLS IN YOUR AREA AND YOU  CAN SEE THE FIRST COLD FRONT MOVING THROUGH THE MIDDLE MISSISSIPPI VALLEY ON THROUGH  PARTS OF  THE OHIO VALLEY EASTERN GREAT LAKES SECONDARY ONE WILL KIND OF FOLD INTO THAT AS WE HEAD  THROUGH THE NEXT COUPLE OF DAYS AND THIS STORM SYSTEM WILL BEGIN TO RIDE THROUGH THE WEST  AND WILL EVENTUALLY RIDE EASTWARD ALONG THAT SO THERE IS GOING TO BE AN AREA PROBABLY GETTING  SOME DECENT SLEET AND FREEZING RAIN AS WE HEAD THROUGH THE NEXT FORTY EIGHT HOURS MAYBE  EVEN SIXTY HOURS. SO LETS PUT THE MAPS INTO MOTION YOU CAN SEE THE COLD FRONT NOT MOVING  QUICKLY IT 'S GOING TO STAY MILD DOWN ALONG THE GULF COAST SO THIS IS GONNA BE A STALLED OUT  SYSTEM EVENTUALLY SECONDARY COLD FRONT KIND OF A REINFORCING SHOT OF THE ARCTIC AIR THAT 'S  TRYING TO COME SOUTHWARD DIVING THROUGH THE NORTHERN PLAINS SO WE'LL HAVE RAIN AND SNOW IN  THE THE FAR NORTHEAST MAINLY RAIN SHOWERS AND DOWN TOWARD  ARKANSAS AND THEN MOUNTAIN  SNOW AND VALLEY RAINS OUT WEST AND THAT 'S GOOD NEWS FOR SOUTHERN CALIFORNIA ALTHOUGH THERE  'S GOING TO BE A FAIR AMOUNT OF MOISTURE IN THAT STORM SYSTEM YOU CAN SEE AS WE HEAD INTO  THE NIGHTTIME HOURS IN TOWARDS TOMORROW MORNING AT SECONDARY A COLD FRONT DRIVING THROUGH  THE OHIO RIVER VALLEY THIS IS WHERE WE'LL HAVE THAT OVER RUNNING WARM AIRTO THE NORTH OF THE STATIONARY FRONT AND A COLD FRONT THAT WILL START TO PRODUCE SOME FREEZING RAIN MORE THAN LIKELY  MAYBE SLEET IN PARTS OF KANSAS PARTS OF NORTHEAST OKLAHOMA INTO SOUTHERN MISSOURI AND EVEN  IN THE SOUTHERN ILLINOIS AS WE HEAD INTO THE A DAY TOMORROW THEN YOU SEE THAT AREA KIND OF   CONTINUES ALTHOUGH WITH THE WARMER AFTERNOON HOURS IT WILL BE QUITE AS EXTENSIVE BUT PARTS OF  OKLAHOMA INTO MISSOURI SO THOSE ARE AREAS WE HAVE TO WATCH NORTH OF THAT STATIONARY FRONT  ESPECIALLY AS THIS STORM SYSTEM RIDES EASTWARD OVER THE WEEKEND. TAKE A LOOK AT THE  PRECIPITATION ESTIMATES DECENT AMOUNTS GREAT LAKES INTO THE OHIO VALLEY PARTS OF THE NORTHEAST AND SOME OF THE HIGHER ELEVATIONS OUT WEST ADDING IN THE NEXT THIRTY SIX HOURS YOU  CAN SEE HOW  WE HAVE SOME DECENT AMOUNT EVEN IN PARTS OF SOUTHERN CALIFORNIA PARTS OF THE  OHIO VALLEY INTO THE SOUTHEASTERN GREAT LAKES SNOWFALL ESTIMATE THEN PARTS OF THE NORTHERN  GREAT LAKES IN THE HIGHER ELEVATIONS OF THE ROCKIES ALREADY SEEN SOME DECENT SNOW WE'RE  GONNA ADD EVEN MORE THAT OVER THE NEXT THIRTY SIX HOURS BUT NOT A LOT OUTSIDE OF THE ROCKIES THERE'S THE TEMPERATURES LOOK AT THE DIFFERENCE BELOW ZERO ALONG THE CANADIAN BORDER  SEVENTIES BY THE TIME YOU GET TO THE GULF COAST THAT CONTINUES TONIGHT WITH THE TEMPTERS  BELOW MINUS TEN IN THE FAR NORTHERN PLAINS AND MORE THE SAME YOU SEE THAT BIG DIFFERENCE IN  TEMPERATURE THERE THROUGH THE TENNESSEE VALLEY THERE 'S A JET STREAM AND YOU CAN SEE WHY  LET A COLD SHOT OF AIR COMING IN BUT YOU'LL NOTICE IS WE HAD THROUGH THE WEEKEND AND NEXT  WEEK WE CUT OFF THE ARCTIC AIR EVERYTHING IN THE LOWER FORTY EIGHT GETS FLOODED WITH PACIFIC AIR WHICH WARMS THINGS UP THAT 'S A LOOK ACROSS THE COUNTRY NOW LET 'S TAKE A LOOK AT SOME LOCAL  FORECASTS WENT TO PUEBLO COLORADO. FIRST OF ALL VARIABLY CLOUDY WITH SOME SUNSHINE HIGH OF FIFTY  TWO DEGREES RICHMOND INDIANA RAIN ENDING AND TURNING COLDER HIGH FIFTY FOUR IN FALLING AND IN  SCRANTON PENNSYLVANIA. BREEZY AND MILD MAYBE AN AFTERNOON SHOWER. A HIGH OF FIFTY ONE.

TEASE
WE'LL LOOK A LITTLE CLOSER AT CATTLE MARKETS WHEN AGDAY CONTINUES  INCLUDE HOW WEATHER SEEMS TO BE DRIVING RECENT MARKET ACTION. ITS  OUR DROVERS TV REPORT. AND IF YOU DON'T LIKE EXTENDING YOUR ARM TO TAKE A PHOTO OF YOU AND  YOUR CREW, WE MAY HAVE A FIX FOR THAT. DETAILS WHEN WE HEAD IN THE COUNTRY. AGDAY - BROUGHT TO YOU BY TOP THIRD AG MARKETING.  FARMER-FIRST, WITH A PLAN FOR EVERY  MARKET. 

DROVERS TV
FEEDYARDS ARE SEEING THEIR SEVENTH CONSECUTIVE WEEK IN THE GREEN.  ACCORDING TO THE STERLING PROFIT TRACKER, CATTLE FEEDER PROFITS ARE  EXCEEDING 150 DOLLARS PER  HEAD FOR THE WEEK ENDING JANUARY SIXTH. PACKERS HOWEVER, EXPERIENCING A DIP OF 18 DOLLARS BUT EARNINGS  REMAIN ABOVE 130 DOLLARS PER HEAD.  AS I MENTIONED AT THE TOP OF THE SHOW, THE LIVESTOCK MARKET ALSO SAW  POSITIVE TRADE AT THE BEGINNING OF THE WEEK.  SOME ANALYSTS SAY THAT'S PARTLY DUE TO WINTER WEATHER.  "I THINK A LOT OF THIS HAS TO DO WITH THE WEATHER WHICH HAS BEEN DETREMENTAL TO WEIGHT GAIN  IN THE CATTLE. WE HAVE ICE STORMS PROJECTED TO HIT A LOT OF THE PLAINS AND INTO THIS WEEKEND SO I  THINK WE DO HAVE SOME TYPE OF A WEATHER MARKET ON OUR HANDS TO SOME EXTENT. THAT'S KIND OF  THE STORY HERE,"LESS WEIGHT GAIN AND SLOWER TRANSPORTION ALSO IMPACTING MOVEMENTS  OF CATTLE TO MARKET. SOME OF THAT RAIN AND SNOW MIX IS FALLING IN MICHIGAN.  THIS WEEK AT THE LAKE ODESSA LIVESTOCK AUCTION HAULERS SAY THE  WEATHER HAS NOT BEEN IDEAL. "IT'S NASTY. I'VE BEEN ON THE ROAD SINCE 930 THIS MORNING. I SHOULD HAVE BEEN DONE TWO  HOURSW AGO. T'S JUST ICE, SNOW, WIND, THERE'S SO  MUCH WIND OUT THERE. I DIDN'T REALIZE IT UNTIL I GOT INTO MY TRUCK HOW MUCH THAT WIND WAS  BLOWING."WE'VE SEEN A LOT OF COLD WEATHER NOW, THE FARMERS DON'T WANT TO GET THE CATTLE OUT OF THE  BARN. AND THEY WANT TO KEEP THE DOORS SHUT ON THE BARN RIGHT NOW." FARMERS AT THE AUCTION SAY OVERALL, THE MOOD'S MATCH THE WEATHER -- WHEN IT COMES TO CATTLE PRICES  IN THE NEW YEAR. "THE PRICE OF FEEDER CATTLE ARE LOW COMPARED TO A YEAR AGO. PRICE OF FAT  CATTLE ARE AT LEAST  30-40 PERCENT LESS THAN A YEAR AGO AND SO MOST OF FAT CATTLE, BLACK, WHITE OR HOLSTEINS. A LOT  OF PRODUCERS ARE NOT RECEIVING BACK WHAT THEY PAID FOR THE FEEDER CATTLE WHEN THEY'RE  FINISHED. IT'S A VERY DISCOURAGING MARKET TODAY."MEANWHILE, RETAIL BEEF PRICES HAVE FALLEN NEARLY 10% SINCE THE PEAK IN  JULY OF 2015. AND THAT'S LIKELY TO CONTINUE IN THE NEW YEAR. NOVEMBER'S ALL FRESH RETAIL BEEF PRICE WAS $5.54 PER POUND. ECONOMISTS SAY FALLING PRICES ARE EXPECTED HELP MOVE PRODUCT.  DURING THE FOURTH QUARTER OF LAST YEAR WE SAW A 6.5 % INCREASE IN PER  CAPITA RETAIL BEEF CONSUMPTION. FOR 2017, ECONOMISTS EXPECT AN INCREASE IN BEEF PRODUCTION OF 3.5 TO 4%, LEADING TO AN  INCREASE IN CONSUMPTION. THE INCREASING SUPPLIES OF BEEF THIS YEAR WILL CONTINUE TO PUSH  RETAIL BEEF PRICES LOWER. THAT WILL BE IMPORTANT IF THE MARKET IS TO ABSORB THE ADDITIONAL BEEF  COMING TO MARKET IN 2017.> HENDERSON SAYS LOWER RETAIL BEEF PRICES, MAY NOT NECESSARILY MEAN A  DECLINE IN CATTLE PRICES.  ECONOMISTS SAY A RECENT DOWNWARD ADJUSTMENTS MAY SEE JUST RETAIL  BEEF PRICES FALL IN ORDER TO BETTER REFLECT LIVE PRICES. 

TEASE
WAS THERE A CONSUMER DRONE UNDER THE CHRISTMAS TREE THIS YEAR AT  YOUR HOUSE? NEXT, WE'LL TELL YOU ABOUT AN UPGRADE THAT SHUTTERBUGS MAY ENJOY.

IN THE COUNTRY
IN THE COUNTRY - BROUGHT TO YOU BY KUBOTA'S BX AND L SERIES COMPACT  TRACTORS - AVAILABLE NOW WITH A SIX-YEAR LIMITED POWERTRAIN WARRANTY.   LEARN MORE TODAY AT YOUR LOCAL KUBOTA DEALER.  ) IN OUR LITTLE CORNER OF THE WORLD, WE TALK ABOUT DRONE USE ON THE  FARM AS A WAY TO MONITOR FOR PROBLEM AREAS IN FIELDS AND ORCHARDS.  AND SOMETIMES IT'S JUST FINE TO LAUNCH THE U-A-V TO CAPTURE SCENIC  HARVEST SHOTS. BUT AT THE CONSUMER ELECTRONIC TRADE SHOW IN LAS VEGAS....ONE OF THE HOTTEST DRONES ON DISPLAY HAS MORE OF A NARCISSISTIC FLAIR. IT'S A SELFIE DRONE.  SO INSTEAD OF EXTENDING YOUR ARM OR USING A SELFIE  STICK, YOU CAN JUST LAUNCH YOUR OWN PERSONAL U-A-V. SEVERAL COMPANIES UNVEILED THEIR PORTABLE DRONES AT THE SHOW - AND  SIMPLICITY IS A KEY SELLING POINT. "YOU JUST FLIP IT OPEN LIKE THAT, THERE'S A SINGLE BUTTON AND WHEN YOU LET GO IT HOVERS"." HOVER CAMERA IS YOUR PERSONAL PHOTOGRAPHER. IT'S A SELF-FLYING CAMERA THAT IS VERY  INTELLIGENT AND HAS A LOT OF ARTIFICIAL INTELLIGENCE BUILT INTO IT. IT'S CAPABLE OF AUTO-FOLLOWING IT'S  OWNER AND CAPTURE EVERY MOMENT OF YOUR LIFE AND HELP YOU SHARE IT WITH YOUR FAMILY AND  FRIENDS."THE HOVER CAMERA RETAILS AT ABOUT SIX HUNDRED BUCKS. AND SINCE IT  WEIGHTS LESS THAN A HALF POUND, THERE'S NO F-A-A REGISTRATION  REQUIRED.

CLOSE
THAT'S ALL THE TIME WE HAVE THIS MORNING. WE'RE GLAD YOU TUNED IN.  FOR ALL OF US AT AGDAY I'M CLINTON GRIFFITHS. HAVE A GREAT DAY. 

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