AgDay Daily Recap -May 12, 2016

May 12, 2016 02:57 AM
 

TODAY ON AGDAY
MAY 12, 2016


OPENING HEADLINES:
TODAY ON AGDAY –WHO’S TO BLAME? NEW DETAILS ABOUT THE CAUSE OF THIS DEADLY EXPLOSION AT A FERTILIZER WAREHOUSE IN TEXAS. IN THE COTTON BELT -TROUBLING TIMES FOR LINT GROWERS IN THE LONE-STAR STATE. INAGRIBUSINESS.....WEATHERING THE MARKETS. YOU KNOW, THAT'S THE ONLY THING WE GOT TO LOOK AT FOR BIG PRICE MOVES FROM HERE ON UP, BECAUSE WE HAVE ALREADY FACTORED IN THE PROBLEMS IN SOUTH AMERICA. AT A LOSS -BEEKEEPERS STRUGGLE -KEEPING THEIR HIVES ALIVE. AND BETTER BEEF -AN IMPROVING PICTURE AT FEEDLOTS.
FERTILIZER PLANT EXPLOSION CALLED CRIMINAL ACT:
GOOD MORNING I'M TRICIA SLOMA. A DEADLY EXPLOSION AT A WEST, TEXAS, FERTILIZER PLANT THREE YEARS AGO IS NOW BEING CALLED A "CRIMINAL ACT"....AS FEDERAL AUTHORITIES SAY THE FIRE LEADING TO THE EXPLOSION WAS INTENTIONALLY SET. THE BLAST DEVASTATED THE SMALL TEXAS TOWN OF WEST IN APRIL 2013. FIFTEEEN PEOPLE DIED, 12 OF THEM WERE FIREFIGHTERS. ON WEDNESDAY, THE BUREAU OF ALCOHOL, TOBACCO AND FIREARMS ANNOUNCED THE FIRE, WHICH LED TO THE EXPLOSION, WAS SET ON-PURPOSE. A-T-F SAYS IT INTERVIEWED 400 WITNESSES AND CONDUCTED EXTENSIVE TESTING IN THEIR LABS TO REACH THIS CONCLUSION.
INCIDENT STILL UNDER INVESTIGATION, REWARD OFFERED FOR INFORMATION:
AGENTS SAY ALL ACCIDENTAL AND NATURAL FIRE SCENARIOS WERE TESTED AND RULED OUT. NOW, THE AGENCY'S HOUSTON OFFICE IS OFFERING A 50-THOUSAND DOLLAR REWARD FOR INFORMATION LEADING TO THE ARREST OF THE PERSON OR PEOPLE RESPONSIBLE. IN ADDITION TO THE 15 DEATHS, 300 PEOPLE WERE INJURED, 500 HOMES WERE DESTROYED, THE BLAST LEFT A CRATER 93 FEET WIDE AND 12 FEET DEEP.
DISSECTING USDA DEMAND DATA:
IN AGRIBUSINESS -COTTON FUTURES WERE MIXED WEDNESDAY AS THE MARKET CONTINUES TO DISSECT THE LATEST SUPPLY-AND DEMAND DATA FROM USDA. THE AG DEPARTMENT'S MAY FORECAST PUTS COTTON PRODUCTION AT 14-POINTEIGHT MILLION BALES. THAT'S 15-PERCENT HIGHER THAN LAST YEAR. USDA'S ESTIMATE IS BASED ON NINE-AND-A-HALF MILLION PLANTED ACRES. THAT FORECAST HAS NOT CHANGED FROM MARCH. THEIR FORECAST INCLUDES THE EXPECTATION OF FAVORABLE MOISTURE AND AVERAGE YIELDS. THE AVERAGE PRICE FOR THIS MARKETING YEAR HAS A RANGE OF 47-TO-67 CENTS A POUND. FARMERS AND RANCHERS ACROSS THE COUNTRY ARE FEELING THE PINCH FROM WEAKER COMMODITY PRICES. BUT FOR FARMERS IN WEST TEXAS, IT'S MORE THAN JUST THE PRICE. HARSH WEATHER, TOUGH-TO-CONTROL-WEEDS AND A WEAKER SAFETY NET ARE ALSO PUTTING PRESSURE ON FARMERS, FORCING SOME OUT OF BUSINESS.
COTTON COUNTRY CRISIS:
TYNE MORGAN LOOKS AT THE CRISIS IN COTTON COUNTRY. IN THE 37 YERAS I'VE BEEN FARMING, I DON'T THINK I'VE SEEN THINGS THIS MUCH OUT OF BALANCE AS FAR AS THE INPUT COSTS VERSUS WHAT WE'RE ACTUALLY GOING TO SELL THE CROPS FORDRIVING DOWN THESE WEST TEXAS ROADS, IT'S PRETTY EASY TO SEE WHY COTTON IS KING. WE'RE SITTING IN A 3 MILLION ACRE OTTON PATCH.DESPITE SINKING COTTON PRICES, WEST TEXAS FARMER WALT HAGOOD STILL PLANS TO GROW COTTON THIS YEAR. 95 PERCENT OF WHAT I WORK IS DRYLAND.NATIONAL COTTON COUNCIL SAYS U-S COTTON FARMERS INTEND TO PLANT 1 MILLION MORE ACRES OF COTTON THIS YEAR THAN THEY DID IN 2015.
STAX OFFERS LITTLE PROTECTION TO COTTON FARMERS:
COTTON FARMERS LOST COUNTER CYCLICAL PAYMENTS IN THE LAST FARM BILL. NOW THEY HAVE WHAT'S CALLED STACKED INCOME PROTECTION PLAN, OR STAX. IT WAS I GUESS SET TO FAIL FROM TEH START BECUASE WHEN THE PRICE CAME DOWN, IT'S NOT VIABLE FOR US. THE COST OF THOSE PREMIUMS SO OUTWEIGH ANY RETURN WE'RE GOIGN TO GET PLUS YOU HAVE TO HAVE A DISASTER DECLARED IN THE WHOLE COUNTY. YOU CAN HAVE AN INDIVIDUAL DISASTER, AND NOT EVEN PARTICIPATE IN GETTING ANY HELP.
ADVOCATION FOR COTTON TO BE DESIGNATED AS OILSEED:
 AG SECRETARY TOM VILSACK SAYS 14 PERCENT OF THE U-S COTTON CROP WAS COVERED BY STAX IN 2015. THAT'S WHY HAGOOD AND OTHERS IN THE COTTON INDUSTRY ARE LOBBYING CONGRESS AND USDA FOR FINANCIAL RELIEF AND THINK COTTON HAS MERIT TO BE AN OILSEED. WE HAVE A COPRODUCT OUT HERE. IT'S NOT JUST LINT. AND A LOT OF THAT SEED IS USED TO FEED DAIRY CATTLE. THAT'S ONE OF THE REASONS THE COUNCIL HAS BEEN ACTIVELY SEEKING SOME INCREASED SAFETY NET FOR COTTON PRODUCERS BY TEH WAY OF A COTTON SEED DESIGNATION, THAT WOULD MAKE IT ELIGIBLE AS AN OTHER OIL SEED FOR THE ARC AND PLC PROGRAMS. IT'S A BATTLE THE INDUSTRY IS STILL FIGHTING.
TOUGH YEAR FOR BEES:
IT'S BEEN A TOUGH YEAR ON POLLINATORS. THE ANNUAL BEE SURVEY NOW SHOWS THE NATION'S BEEKEEPERS REPORTED LOSSES OF 44-PERCENT OF THEIR HONEY BEE COLONIES. THAT'S ABOUT THREE PERCENT HIGHER THAN THE PREVIOUS YEAR.  THE TIME FRAME RUNS FROM APRIL 2015 TO APRIL 2016, THE LOSSES WERE DOCUMENTED NOT ONLY DURING WINTER MONTHS BUT ALSO DURING SUMMER MONTHS WHEN BEES ARE AT THEIR HEALTHIEST. APIARY INSPECTORS OF AMERICA -WHICH OVERSEES THE SURVEY -SAYS THE FACT THAT SUMMER LOSSES ARE IDENTICAL TO WINTER LOSSES IS "QUITE ALARMING".
CROP COMMENTS:
 CROP COMMENTS IS BROUGHT TO YOU BY RESICORE HERBICIDE FROM DOW AGROSCIENCES. OBVIOUSLY THERE'S BEEN SOME ROUGH WEATHER IN THE GREAT PLAINS THIS WEEK. OTHER AREAS -LIKE THE CORN BELT -HAVE RECEIVED PLENTY OF RAIN. MIKE HOFFMAN HAS DETAILS IN CROP COMMENTS, MIKE. WE START IN NATCHITOCHIES PARISH, LOUISIANA. THE STATE HAS BEEN OVERWHELMED BY RAIN STORMS ONCE AGAIN. VIEWER HUBERT WILKERSON SHARED THESE PHOTOS. THE FIRST ONE SHOWS A TRACTOR STUCK IN THE MUD AS THE FAMILY TRIED TO REMOVE HAY BALES IN ADVANCE OF FLOODING. AND THEN, THIS SECOND PHOTO SHOWS THE SAME FIELD FOUR DAYS LATER.
TEASE:
NEXT IN AGRIBUSINESS -WEATHER VERSUS MARKET FORECASTING. AND HOW IT'LL PLAY OUT THIS SPRING. PLUS GREG HENDERSON FROM OUR PARTNERS AT DROVERS WILL CHECK-IN. HE HAS AN UPDATE ON THE IMPROVING OUTLOOK FOR FEEDLOT OPERATORS. AND FIND OUT WHY THIS MOOSE IS ALL THE RAGE ON THE INTERNET THESE DAYS. DETAILS WHEN WE HEAD IN THE COUNTRY.
FROM THE FLOOR OF THE CME:
LET'S SEE HOW THE MARKETS CLOSED WEDNESDAY IN CHICAGO. WE HEAD NOW TO THE C-M-E FLOOR. WHEAT REMAINS DOWN AT THE LOWER END OF THIS LEVEL AND AGAIN, I THINK IT IS PROBABLY A GOOD BUY DOWN HERE IN THE 4.60 AREA SO THAT REMAINS PRETTY MUCH THE SAME IT HASN'T DONE MUCH, IT TRIED TO BREAK OUT A FEW WEEKS AGO IT GOT THE 5.10 , NOW WE ARE BACK HERE AT 4.60.
THIS IS TODD HOROWITZ FROM BUBBA TRADING. COM, COMING TO YOU FROM THE FLOOR OF THE CME IN CHICAGO.
TOSS TO AGRIBUSINESS:
IN ANALYSIS, CLINTON GRIFFITHS IS HERE WITH A LOOK AT WEATHER AND THE FORECAST....AND THE IMPACT ON THE MARKET. CLINTON.
AGRIBUSINESS:
RICH NELSON, OUR GUEST HERE AT THE AGRIBUSINESS DESK TODAY. HE IS WITH ALLENDALE INCORPORATED. RICH, LET'S TALK ABOUT... I THINK WHAT EVERYONE IS WONDERING--WE'RE GETTING THE CROP IN THE GROUND AND EVERYBODY WANTS TO KNOW WHAT IT IS GOING TO YIELD ONCE WE GET TO HARVEST TIME. WHAT CAN WE EXPECT WITH WHAT THE WEATHER HAS GIVEN US SO FAR? > GREAT QUESTION. SO FAR WE HAVE AN AGGRESSIVE PLANTING PLACE ON CORN, DESPITE THE PROBLEMS WITH NEBRASKA AND PORTIONS OF SOUTH DAKOTA.
NATIONAL WEATHER:
WELCOME BACK TO AGDAY. I'M METEOROLOGIST MIKE HOFFMAN. WE JUST CANNOT GET OUT OF THIS WEATHER PATTERN, WHERE THESE SLOW MOVING SYSTEMS CUT OFF LOWS AS WE WILL SHOW AND CONTINUE TO SOAK PARTS OF THE COUNTRY. THIS MORNING WE ARE SEEING SHOWERS AND THUNDERSTORMS FROM PARTS OF NORTHERN TEXAS INTO THE WESTERN PORTIONS OF THE GREAT LAKES AND AS WE PUT THE MAPS INTO MOTION, STORM SYSTEMS IN THE NORTH CONTINUE TO MOVE EAST, BUT THERE WILL BE SHOWERS AND THUNDERSTORMS FROM THE GREAT LAKES ALL THE WAY DOWN INTO THE OHIO AND TENNESSEE RIVER VALLEYS AND EVENTUALLY THE EASTERN AND SOUTHERN TEXAS EVEN UNDER HIGH PRESSURE THERE COULD BE A COUPLE OF POP-UPS IN FLORIDA, BUT AT LEAST THIS AIR MASS IS DRY COMING ACROSS THE WEST INTO THE WESTERN AND CENTRAL PLAINS AS WE HEAD THROUGH THIS AFTERNOON. NOW, HEADING THROUGH TONIGHT, YOU CAN SEE A SECONDARY AREA OF LOW PRESSURE, THIS WON'T BE A BIG RAIN PRODUCER NECESSARILY, BUT IT IS GOING TO BRING SOME VERY COLD AIR BEHIND IT.
REGIONAL WEATHER:
THAT’S A LOOK ACROSS THE COUNTRY; NOW LET'S TAKE A LOOK AT SOME LOCAL FORECASTS. FIRST OF ALL FOR GREELEY, COLORADO TODAY MOSTLY SUNNY AND BEAUTIFUL, HIGH OF 73 DEGREES, WATERLOO, IOWA PARTLY SUNNY, BREEZY, HIGH OF 64 AND FINALLY TAKING AT ZENA, OHIO, WARM WITH SHOWERS AND A THUNDERSTORM, HIGH OF 79.
TEASE:
LATER IN THE SHOW, A STRANGE HOUSE GUEST IN ALASKA IS GOING VIRAL ON THE INTERNET, BUT FIRST, IT'S OUR WEEKLY DROVERS REPORT. THIS WEEK -THERE'S SOME ENCOURAGING NEWS FOR FEEDLOT OPERATORS.
STERLING PROFIT TRACKER:
IN NEWS FROM OUR PARTNERS AT DROVERS T-V....THE STERLING PROFIT TRACKER SHOWING AN IMPROVEMENT IN PROFIT MARGINS. FEEDYARDS ARE THE CLOSEST TO BREAKING EVEN -ON CASH BASIS -IN 18 MONTHS. THE BEEF PROFIT TRACKER ESTIMATED CASH LOSSES AT 30 DOLLARS PER HEAD. BUT SOME ACTUALLY MADE MONEY, TYNE MORGAN TALKED WITH DROVERS EDITORIAL DIRECTOR GREG HENDERSON ABOUT THE IMPROVING PICTURE. BUT THINGS ARE IMPROVING, THE BIGGEST IMPROVEMENT IS THE FACT THAT FEEDER CATTLE PRICES ARE GOING DOWN. NOW, THAT'S GOOD NEWS FOR FEED YARDS, NOT NECESSARILY SO GOOD FOR SELLING FEEDER CATTLE, BUT OVERALL THE INDUSTRY IS GAINING A LITTLE TRACTION, PROFITABILITY FROM THE HEAVY LOSSES THAT WE SAW LAST FALL.>
TEASE:
STILL TO COME....A MUSICAL INTERLUDE. . . FROM A MOOSE! IN THE COUNTRY IS NEXT.
IN THE COUNTRY:
DEPENDING ON YOUR AGE, YOU MAY ONLY BE FAMILIAR WITH A COUPLE OF MOOSE CHARACTERS. THERE'S "MARTY" THE MOOSE FROM THE CHEVY CHASE VACATION MOVIE. OR THERE'S BULLWINKLE FROM THE 1960'S CARTOON. NOW YOU CAN ADD THIS YET-UN-NAMED-BUT MUSICALLY INCLINED MOOSE. BRITTA SCHROEDER SHOT VIDEO OF A MOOSE PLAYING ONE-PART HARMONY WITH THE WIND CHIMES ON THE PORCH OF HER RURAL CABIN NEAR DENALI NATIONAL PARK. SCHROEDER HEARD THE CHIMES LAST WEEK. BUT THERE WASN'T A BREEZE BLOWING.
CLOSING:
THAT'S ALL THE TIME WE HAVE THIS MORNING. WE'RE GLAD YOU TUNED IN. FOR TYNE MORGAN AND CLINTON GRIFFITHS I'M TRICIA SLOMA. HAVE A GREAT DAY.

PROMO:
I'M TRICIA SLOMA. FRIDAY ON AGDAY USDA DELIVERS AN ATTITUDE-CHANGER FOR THE SOYBEAN MARKET. OUR PARTNERS AT PROFARMER WILL ANALYZE. MIKE HOFFMAN HAS YOUR PLANTING FORECAST. AND WE VISIT ANOTHER GREAT AMERICAN BARN. WATCH US WEEKDAYS....ON AGDAY.

 

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