AgDay Daily Recap - April 13, 2017

April 12, 2017 02:57 AM
 
AgDay

TODAY ON AGDAY
APRIL 13, 2017


HEADLINES
COTTON BLOOMS DOWN SOUTH--A LOOK AT THE RESURGENCE OF A KING. IN  AGRIBUSINESS...THE CHANCES OF SOYBEAN PRICES HEADING LOWER? A LOOK AT BEEF EXPORTS  IN TODAY'S DROVERS TV REPORT. AND YOUR BIGGEST  TRACTOR MAY HAVE NOTHING ON THIS HIGH HORSE POWERED CAR. AGDAY-BROUGHT TO YOU BY THE DEPENDABLE, LONG LASTING CHEVY SILVERADO.

COTTON ACREAGE INCREASE
GOOD MORNING I'M CLINTON GRIFFITHS.  THE USDA CONTINUES TO EXPECT CHANGES IN THE COTTON MARKET FOR 2017. IN IT'S LATEST SUPPLY DEMAND REPORT, USDA EXPECTS HIGHER EXPORTS AND  LOWER ENDING STOCKS FOR THE 16-17 MARKETING YEAR. BECAUSE OF THE STRONG SALES IN MARCH, EXPORT VOLUME WAS RAISED TO  14- MILLION BALES. THAT WOULD THE FOURTH LARGEST VOLUME EVER...AND ACCOUNT FOR NEARLY  40 PERCENT OF THE WORLD'S TRADE. ADD TO IT, USDA'S PROSPECTIVE PLANTINGS REPORT WHERE IT CALLS FOR A  WHOPPING 21 PERCENT INCREASE IN ACRES THIS YEAR IN THE UNITED STATES. TYNE MORGAN REPORTS ON THE RETURN OF COTTON TO A CASH CROP.  THIS FIELD HERE, I SEE THE REMINANTS OF LAST YEAR'S COTTON CROP, WILL THIS BE IN COTTON AGAIN? IT WILL BE IN COTTON AGAIN THIS COMING YEAR. COMO, MISSISSIPPI FARMER SLEDGE TAYLOR LOVES TO GROW COTTON. AND  THIS YEAR, HE'S PLANTING 3500 ACRES, OR ABOUT A THIRD OF HIS CROP, IN WHAT  WAS ONCE A STAPLE IN THIS AREA.  "WE'LL INCREASE THIS YEAR ABOUT 25 PERCENT OVER LAST YEAR, AND LAST YEAR WE INCRASED ABOUT  25 PERCEN TOVER THE PREVIOUS YEAR. SO WE'VE INCREASED ALMOST 50 PERCENT IN TWO YEARS." > NATIONAL COTTON COUNCIL'S FEBRUARY PLANTING INTENTIONS SURVEY  SHOWING 12 STATES COULD SEE AN INCREASE IN UPLAND COTTON ACRES THIS  YEAR. NATIONAL COTTON COUNCIL THINKS THE BIGGEST JUMP IN THE MID-SOUTH  COULD BE IN MISSISSIPPI.  BASED ON A GROWER SURVEY, NCC THINKS THE LARGEST SPIKE IN ACRAGE WILL  SHOW UP IN THE WEST, WITH KANSAS SEEING A 42 PERCENT BUMP OVER LAST  YEAR. PRICE IS PART OF THE EQUATION ENTICING FARMERS TO PLANT MORE COTTON.  "THIS YEAR, COMPETING CRPOS LIKE CORN, THE PRICE OF CORN IS SO LOW AND GOING LOWER EVERY DAY, THAT I DON'T WANT TO GROW MUCH CORN AT ALL. THE PRICE OF COTTON IS STILL NOT A DRIVING POINT, BUT  IT'S THE LESSER OF ALL THE EVILS. " "LOOKING AT USDA PROJECTIONS, IT STILL SHOWS THAT WITH CURRENT FUTURES PRICES, WE'RE STILL NOT  COVERING FULL COST OF PRODUCTION. SO WE'RE COVERING VARIABLE COSTS BUT THERE'S STILL A MISSING  COMPONENT THERE." BUT THE MAIN DRIVER BEHIND THE MOMENTUM IN COTTON IS PHENOMONAL  YIELDS.  "OUR YIELDS WERE THE BEST YIELDS THAT WE'VE EVER MADE." "WITH THE NEW VARIETIES, WE'RE MAKING PHENONOMAL YIELDS. THE QUALITY THIS PAST  YEAR WITH SOMEO F THE NEWER VARIETIES THE QUALITY WAS OUTSTANDING, SO THAT'S PART OF IT."> FIVE YEARS AGO, IF ANYONE COULD HIT 2 BALES, THAT WAS AMAZING, THAT'S 1,000 POUNDS. SO 1000  POUNDS WAS KIND OF HTE TARGET, NOW 1500 IS OUR TARGET? HIGHER YIELDS AND AN ACREAGE BUMP IS GIVING NEW LIFE TO THE INDUSTRY. "AN INCREASE IN COTTON ACRES WILL BE A GREAT BENEFIT FOR THE U.S. COTTON INDUSTRY, AS LONG AS  WE CAN KEEP UP WITH THE EXPORT DEMAND. IT'S THAT DEMAND THAT'S BEEN THE SHINING STAR THIS YEAR, HELPING  SUPPORT COTTON PRICES SEE A 10 CENT RUN SINCE  "WE'RE SEEING STRONG DEMAND FOR U.S. COTTON RIGHT NOW, VIETNAM IS IN THE  MARKET, CHINA IS IN THE MARKET, WE'RE NOT SEEING A LOT OF COMPETITION, SO THERE'S A LOT OF  OPPORTUNITEIES RIGHT NOW WITH THE MARKET STRENGTHENING." > CHINA HASN'T BEEN A BIG BUYER OF U-S COTTON THIS YEAR, BUT THOSE TIDES  ARE STARTING TO TURN.  IF CHINA HAS ANOTHER SUCCESSFUL ACTUION SERIES THIS YEAR, THAT COULD REALLY PUT THEM IN  POSITION THE NEXT FEW YEARS TO BECOME A LARGE IMPORTER AGAIN."SHE THINKS THAT'S SOMETHING THAT COULD HIT THE MARKET AS EARLY AS 2018. UNTIL THEN, THE FOCUS IS ON  2017... AN WHILE PRICES ARE BETTER, THERE  ARE FEARS IT WON'T LAST.  IF WEATHER COOPERATES, WE HAVE ANOTHER 17 TO 17.5 MILLION BALE CROP, OTHER COUTNIRES AND  INCREASE PRODUCTION, I WORRY THAT THERE COULD BE SOME PRICE PRESSURE AS WE GET INTO THE FALL." BUT FOR SLEDGE TAYLOR, THE PRICE AND ACREAGE STORY AROUND COTTON  IS  GROWING EXCITEMENT IN HIS SMALLTOWN... AND THIS MISSISSIPPI GROWER IS STRIVING FOR AN ENCORE TO 2016, REVIVING  HOPE THAT COTTON CAN BE KING IN THESE MISSISSIPPI FIELDS ONCE AGAIN.  NATIONAL COTTON COUNCIL SAYS PRICES AREN'T HIGH ENOUGH TO SEE A  RESURGENCE IN INFRASTRUCTURE, LIKE COTTON GINS. BUT ADAMS SAYS IF  THERE'S A GIN THAT SHUT DOWN A COUPLE YEARS AGO, IF PRICES CONTINUE TO  CLIMB, WE COULD SEE THOSE COME BACK ONLINE.

TRUMP ADMIN CONSIDERING FRONTLOADING NAFTA RENEGOTIATION
THE TRUMP ADMINISTRATION IS CONSIDERING FRONT-LOADING THE UPCOMING RENEGOTIATION OF  NAFTA.  TYPICAL TRADE NEGOTIATIONS PUT TECHNICAL TALKS FIRST AND SAVES THE TOUGHER POLITICAL ISSUES UNTIL  THE END.   A FORMER OFFICIAL AT USTR TELLING POLITICO THIS WEEK THE IDEA IS TO "HAVE A LOT OF THOSE HIGH- LEVEL DISCUSSIONS AT THE BEGINNING, AND FIND OUT WITHIN THE FIRST FEW MONTHS: IS THIS DOABLE OR  NOT?" ADDING THAT SOME OF THE TOUGHEST AREAS OF NEGOTIATIONS ARE LIKELY TO BE INTELLECTUAL  PROPERTY ISSUES WITH MEXICO AND DAIRY TALKS WITH CANADA.  NAFTA RENEGOTIATIONS COULD START IN JULY.

CALIFORNIA IS DROUGHT-FREE
THE FEDERAL AGENCY THAT OVERSEES WATER DISTRIBUTION FROM THE  CENTRAL VALLEY PROJECT IN CALIFORNIA IS CELEBRATING THAT IT CAN FULFILL  100-PERCENT OF ITS CONTRACTS THIS YEAR. THAT'S THE FIRST TIME IN OVER A  DECADE. MANY OF THE CUSTOMERS ARE IN THE LARGE AGRICULTURAL  DISTRICTS IN THE CENTRAL AND SOUTHERN PARTIES OF THE STATE. BUT THE CELEBRATION IS MUTED BY MANY FARMERS WHO SAY THE BUREAU OF  RECLAMATION'S DECISION CAME TOO LATE THIS YEAR. THE CALIFORNIA FARM BUREAU SAYS MANY GROWERS MADE THEIR PLANTING  DECISIONS MONTHS AGO AND WERE UNCERTAIN WHAT THEIR WATER SUPPLIES  WOULD BE.  LAST YEAR THOSE WATER DISTRICTS RECEIVED ONLY FIVE PERCENT OF ITS  REQUESTED AMOUNTS OF WATER.

CROP COMMENTS
FARMERS ARE BACK IN ACTION WTIH FIELD WORK AND EVEN SOME PLANTING IN  THE CORN BELT. MIKE HOFFMAN HAS AN UPDATE IN CROP COMMENTS.  GOOD MORNING, CLINTON.  WE'LL START OFF WITH SOME FARMERS PUTTING DOWN ANHYDROUS IN  FRANKLIN, INDIANA.  THESE FARMERS SAY THEY ARE ABOUT READY TO PLANT - THEY HOPE TO PUT  SEED IN THE GROUND OVER THE NEXT THREE TO FOUR DAYS IF MOTHER NATURE COOPERATES.  ACCORDING TO USDA'S CROP PROGRESS REPORT, INDIANA HAD ALMOST 2 DAYS SUTIABLE FOR FIELD WORK THE WEEK ENDING APRIL 9.  OVER IN ROLFE, IOWA, JON RICKLEFS IS STARTING UP THE PLANTER THIS WEEK.  TUESDAY WAS HIS FIRST DAY. JON SAYS HE'S NOT GETTING TOO CARRIED AWAY, BECAUSE THERE'S A  POSSIBILITY OF RAIN.  USDA SAYS IOWA HAD ALMOST 2 DAYS SUITABLE FOR FIELD WORK THE WEEK  ENDING APRIL 9 AS WELL.  AND NOW HERE ARE SOME HOMETOWN TEMPS 

TEASE
WHEN WE COME BACK WE'LL CONTINUE OUR LOOK AT COMMODITIES INCLUDING  THE DOWNSIDE RISK FOR SOYBEAN PRICESAND LATER, PUTTING MORE POWER UNDER THE HOOD. IT'S A GEAR-HEADS' DREAM - LATER ON IN THE COUNTRY GET THE ROOTS YOUR CROPS NEED, BY GETTING RADIATE FIRST.  VISIT LOVELAND PRODUCTS.COM  SLASH RADIATE.  SEE YOUR CPS DEALER TODAY.

FLOOR OF THE CME
IN AGRIBUSINESS IT WAS AN INTERESTING DAY FOR COMMODITIES--AND PLENTY  OF TRADES HEADED HIGHER. LETS SEE HOW IT CLOSED FROM THE FLOOR OF THE CME IN CHICAGO. "HI IT'S BEEN A HIGHER MARKET IN THE GRAIN ROOM ALL DAY TODAY A SOYBEAN  'S REALLY LEADING THE WAY HIGHER AND THERE THEY ARE ALLOWED A RUN  THEY HAVE STARTED TO SHOW DOUBLE DIGIT GAINS AS WE GO INTO THE LAST  PART OF THE DAY IT WILL CLOSE AT A VERY STRONG NOTE CORN ALSO SEEING  SOME BUYING SURFACE ALL DAY LONG THERE REALLY ARE INCREASING THE  GAINS ON THE DAY AND THE LAST PART OF THE DAY AS WELL IN ALL IT SEEMS  LIKE IT 'S MOSTLY JUST A SHORT COVERING RALLY MAY BE FOR THE LONG  WEEKEND HERE ARE ALL MARKETS CLOSED FRIDAY FOR THE GOOD FRIDAY A  HOLIDAY PARTY THAT WON'T BE TRADING UNTIL SUNDAY NIGHT SO IT LOOKS LIKE  THE MARKET IS PROBABLY FOUND A BASE HERE FOR AT LEAST THE SHORT TERM  WE CAN SEE IT'S RESPOND TO THE WETTER WHETHER AS SOON AS THE  WEATHER STARTS TO DRY OUT A PLANTERS START TO ROLL OR PROBABLY SEE  THE SIGHING I START TO RESUME AGAIN BUT UNTIL THEN EXPECT A CHOPPY  SIDEWAYS THE HIGHER MARKET VALUE FELL THE TRADE IS MORE COMFORTABLE  THAT THERE IS GOING TO BE HE 'S A VERY VERY BIG CROPS BIG PRODUCTION  HERE IN THE UNITED STATES AND THERE MIGHT TAKE JUST A LITTLE BIT OF TIME  NOW WITH ALL THIS RAIN THANKS VERY MUCH JACK SCOVILLE VICE PRESIDENT  OF PRICE FUTURES GROUP HERE ON THE CME GROUP FLOOR WITH SOME  COMMENTS FOR THE MARKETS . " SOYBEANS SEEING A LITTLE BIT OF STRENGHT DURING WEDNESDAY'S TRADE AT  CME.

AGRIBUSINESS
BUT CAN IT HOLD. TYNE MORGAN JOINS US ONCE AGAIN WITH THE POTENTIAL OF  DOWNSIDE RISK IN SOYBEANS IN TODAY'S ANALYSIS. HERE NOW CHIP NELLINGER BLUE REEF AGRI MARKETING CHIP YOU KNOW THE  THE LATEST USDA PROSPECTIVE PLANTINGS REPORT WE SAW AN INCREASE IN IN  IN SOYBEAN ACRES DO WE HAVE A LOT OF DOWNSIDE RISK AND PRICES FOR THE  SET TODAY I THINK YOU STILL HAVE A LITTLE BIT OF DOWNSIDE RISK THAT THINK  IMPORTANT POINT IS THAT 'S PARTICULARLY IN THE CASE OF OLD CROP BEANS  WE BROKE A DOLLAR AND TWENTY CENTS ROUGHLY GOING INTO THAT REPORT  SO THERE WAS SOME BEARISHNESS BUILT IN AND EXPECTATIONS WERE FOR  INCREASING ACRES WE ALSO GOT A BUMP HIGHER IN STOCKS OF ALL BUT  HIGHER THAN EXPECTED YOU KNOW SO I THINK IN A SHORT RUN HERE THERE  STILL IS SOME DOWN SIDE THIS WILL BE THE FIRST TIME IN OVER A YEAR THAT  THE FUNDS HAVE HAVE ARE IN THE PROCESS OF BUILDING UP A SHORT POSITION  SO THEY'RE PRETTY MUCH OUT OF THEIR LONG AS THEY'VE BEEN IN FOR OVER A  YEAR BUILDING UP A SHORT POSITION THEY'VE ONLY BEEN SHORT BEANS THREE TIMES IN THE LAST FIVE YEARS SO THERE STILL IS SOME DOWN SIDE I GUESS IS  MY POINT PROBABLY NOT A DOLLAR BUT THERE COULD EASY BE ANOTHER  TWENTY EIGHT OF FORTY CENTS DOWNSIDE IN IN BEAN PRICES IN THE SHORT  RUN BUT IT SEEMS LIKE WE'RE IN A MUCH DIFFERENT SITUATION THIS YEAR THAN  LAST LAST YEAR WE WERE STARTING TO SEE PRICES CLIMB IN REALLY IN THE  SUMMER TIME FRAME AWAY IT 'S A NICE PRICE ACTION IN THE HELL THAT THOSE  LEVELS WERE FOR DECENT AMOUNT OF TIME THIS YEAR WE GOT 'S YOU KNOW  HIGHER THAN WE THOUGHT THE SAME HIGHER FOR LONGER THAN MANY  THOUGHT TWO THINGS I'VE WORN A DIFFERENT SITUATION THIS YEAR IT IS  DIFFERENT AND ONE OF THE BIG DIFFERENCES IS LAST YEAR THE MARKET KIND  OF MISJUDGED THE CROP SIZE AND SOUTH AMERICA THE SOUTHERN  HEMISPHERE THEY HAD SOME LATE CROP PROBLEMS THERE AND THEIR CROP  ENDED UP BEING MUCH SHORTER THAN EXPECTED IT'S KIND OF THE OPPOSITE  THIS YEAR JUST SEEMS LIKE ON A WEEKLY BASIS THE BRAZIL CROP ESTIMATES  PRIVATELY DOWN THERE CONTINUE TO GROW A LOT OF THEM MAY HAVE THAT UP  OVER A HUNDRED THIRTEEN MILLION METRIC TON CROP DO YOU THINK IT 'S THAT  GOOD I DO IN TALKING TO PEOPLE I REALLY DO THINK IT 'S GONNA GROW OR IF IT  'S QUITE HUNDRED THIRTEEN BUT USDA 'S AT ONE HUNDRED NINE SO THEY GOT  SOME ROOM TO RAISE THAT AND THAT MIGHT CONTINUE TO DRIVE YOU KNOW  THE FUNDS INTO SOME FURTHER SHORT 'S PRESSED THE DOWN SIDE A LITTLE  BIT SHORT AND YOU DON'T THINK THOSE PROJECTIONS OF WHAT 'S PRICED INTO  THE MARKET RIGHT NOW I THINK WE'RE IN THE PROCESS OF A PRICE ON THAT  AND BUT MAO 'S JUST A MONEY FLOW ISSUE AND YOU KNOW YOU HAVE TO GET  THESE FUNDS SHORT WHICH MAY BE AN OPPORTUNITY FOR PRODUCERS THAT  PRICE A LOT OF OLD CROP EARLIER IN THE SEASON AT HIGHER PRICES ABOVE  TEN DOLLARS WE STILL HAVE THE WHOLE GROWING SEASON TO GO HERE SO THERE 'S STILL A LOT OF UNCERTAINTY AND MIGHT BE TIME TO LOOK IT MAYBE  SOME OUT OF THE MONEY CALLS AGAIN SOME OF THOSE EARLY SALES ALL  RIGHT THANK YOU CHIP STAY WITH US WE'LL BE BACK WITH MORE AGDAY IN JUST  A MOMENT  FAST PACE WITH DESIGN-MATCHED TRANSMISSIONS FOR INTUITIVE  STEERING...PERFECT CUT FOR A CARPET-LIKE FINISH...AND SWEET RIDE WITH A  COMFORT-FOCUSED SEAT.  GRASSHOPPER MOWERS ARE COMMITTED TO THE  CUT.

WEATHER
WELCOME BACK TO AGDAY METEOROLOGIST MIKE HOFFMAN MIKE AN  INTERESTING MAP YOU HAVE GOING HERE A LOT OF FRONTS ON THERE THE  OTHER ARE IN THERE MOST OF THEM ARE WEAK LIKE WE'VE POINTED OUT  YESTERDAY SORT OF TALK IN ANY HUGE STORM SYSTEMS MOVING ACROSS THE  COUNTRY SO WHEN THERE ARE RATHER WEAK SYSTEMS LIKE THIS  METEOROLOGIST CAN HAVE A TOUGH TIME PICKING OUT EXACTLY WHERE THE  ACTIVITY IS SAYING SEE  I HAVE AN AREA OF LOW PRESSURE THERE IN IOWA ONE  OVER THE PANHANDLE OF TEXAS WILL ALSO ADD THAT TO A STORM SYSTEM OUT  WEST THE LINGERING SYSTEM IN THE NORTHEAST WITH A LITTLE BIT OF SNOW  THERE BUT YOU'LL NOTICE HOW THIS FRONT COME TO STAY STATIONARY FOR  THE MOST PART FROM IOWA INTO THE OHIO RIVER VALLEY WILL BE SOME  SHOWERS RIDING ALONG THAT LITTLE COOLER NORTH WARMER OF THE SOUTH  THIS SYSTEM RIDING UP THERSIS WARM FRONT THEN AS IT MOVES THROUGH  PARTS OF KANSAS OKLAHOMA INTO A MISSOURI SOUTHERN IOWA WTIH SOME  SHOWERS AND THUNDERSHOWERS YOU CAN SEE THE SECOND SYSTEM  BRINGING SOME RAIN AND MOUNTAIN SNOW IS ONCE AGAIN TO THE NORTHWEST  LOT CHILLIER AIR IN THE NORTHWESTERN IT IS FARTHER EAST BY LATER IN THE  DAY TOMORROW THEN YOU SEE THIS FIRST AREA OF LOW PRESSURE MOVING  INTO EASTERN IOWA WITH SHOWERS AND THUNDERSTORMS OUT AHEAD OF THAT  AS FAR EAST AS THOUGH WESTERN  INDIANAAND WE HAVE A DEVELOPING AREA  OF LOW PRESSURE THEN ALONG THIS COLD FRONT COMING IN THAT THAT'LL  HELP TO PULL UP THE WARM AIR IN A LITTLE FARTHER AS WE HEAD INTO THE  EARLY PART OF THE WEEKEND TAKING A LITTLE PRECIPITATION ESTIMATES OVER  THE PAST TWENTY FOUR HOURS THAT SYSTEM OVER THE PANHANDLE OF TEXAS EASTERN NEW MEXICO PUT DOWN SOME A PRETTY DECENT AMOUNTS OF RAIN  ADDING IN THE NEXT THIRTY SIX YOU CAN SEE HOW THAT TRACKS OFF TO THE  NORTHEAST STATIONARY FRONT HAS SOME VERY LIGHT SHOWERS MOVING  ALONG IT INTO THE EASTERN OHIO VALLEY BUT GENERALLY SHOW UP TOO MUCH  AND YOU CAN SEE OUT WEST IN EXCUSE ME SOME DECENT MOISTURE THEIR  ESPECIALLY THE HIGHER ELEVATIONS OF THE FIRST RANGE OF MOUNTAINS  COMING OFF THE PACIFIC ENOUGH FOR MOST OF THE SNOW IS WELL PAST  TWENTY FOUR HOUR SHOWING UP THERE NEXT THIRTY SIX HOURS SHOWING A  LITTLE BIT COMING INTO THE NORTHERN PORTIONS OF THE ROCKIES THERE AS  WELL INTO PARTS OF MONTANAAND  IDAHO CHECKING OUT TEMPERATURES. IT IS  WARM IN THE SOUTHEAST FROM THE TENNESSEE RIVER VALLEY SOUTHWARD  SEVENTIES AND EIGHTIES. STILL FIFTIES AREN'T TOO BAD UP ACROSS THE GREAT  LAKES IN THE NEW ENGLAND SAME THING AT OUT WEST ALTHOUGH YOU'LL  NOTICE ACTUALLY IN THE FORTIES. THE HIGHER ELEVATIONS. ANYWAY LOW  TEMPTRESS TONIGHT AGAINST A VERY MILD FOR THE CENTRAL PLAINS  SOUTHWARD STILL KIND OF CHILLY FOR THE NORTH EASTERN GREAT LAKES AND  NEW ENGLAND AND A HIGH TEMPERATURES TOMORROW AFTERNOON LOTS OF  EIGHTIES GOING ALL THE WAY UP IN THE SOUTHERN ILLINOIS SOUTHERN  INDIANA. BUT IT IS CHILLY OUT WEST. THE HIGH TEMPERATURES EVEN IN THE  LOWER ELEVATIONS ONLY IN THE FORTIES CHECK IT OUT THE JET STREAM THAT  'S BECAUSE OF THAT CUT OFF LOW THAT 'S KINDA SITTING OFF THE PACIFIC  NORTHWEST PART OF THAT COMES EAST A LITTLE TROUGH OF THE NORTHERN  TIER STATE EARLY NEXT WEEK. BUT YOU CAN SEE HOW WE STAY MOSTLY ZONAL  FOR A GOOD CHUNK OF THAT TIME WITH A LOT OF THOSE SYSTEMS IS CAN A  RIDING THROUGH THE NORTHERN TIER OF STATES SO NO BIG SYSTEMS DIVING IN  LIKE WE HAD THAT THE PATTERN OVER THE PAST FEW WEEKS AT A LOOK ACROSS  THE COUNTRY NOW LET 'S TAKE A LOOK AT SOME LOCAL FORECASTS.. WE HAD A  SACRAMENTO CALIFORNIA FIRST OF ALL VARIABLE CLOUDY COULD BE A SHOWER  IN SPOTS HIGH OF SIXTY TWO DEGREES IN MADISON WISCONSIN A MIX OF SUN  AND CLOUDS AFTERNOON HIGH OF FIFTY SEVEN AND TRENTON NEW JERSEY  PARTLY TO MOSTLY SUNNY. NOT QUITE AS WARM A HIGH ROUND SIXTY FIVE  DEGREES.

TEASE
USDA IS UPDATING IT'S EXPECTATIONS FOR BEEF PRODUCTION.  WE'LL HAVE THE DETAILS NEXT IN OUR DROVERS TV REPORT.

DROVERS TV
ON DROVERS TV, IN ITS APRIL SUPPLY DEMAND REPORT, USDA RAISED ITS 2017  BEEF PRODUCTION FORECAST-- IT EXPECTS PRODUCTION TO BEAT 2016 BY SLIGHTLY MORE THAN 5 PERCENT. THE ADJUSTMENT REFLECTS THE CURRENT PACE OF SLAUGHTER AND HEAVIER- THAN-EXPECTED CATTLE WEIGHTS DURING THE FIRST HALF OF THE YEAR.  USDA ALSO RAISING IT'S BEEF IMPORT FORECAST FOR THE YEAR. IT EXPECTED MORE BEEF TO HIT U.S. SHORES FROM OCEANIA IN THE SECOND  HALF OF THE YEAR -- OUTWEIGHING THE DECLINES WE'VE SEEN EARLY.  STEERS ARE NOW EXPECTED TO AVERAGE 115 TO 121 FOR THE YEAR--JUST A  TICK HIGHER THAN LAST MONTH'S FORECAST ANNUAL AVERAGE. "SHOWING GOOD DEMAND FOR CATTLE AND SHOWING CASH PRICES  AVERAGING HIGHER THAN WHAT THE FUTURES ARE SHOWING RIGHT NOW BY 4  TO 5 DOLLARS. THAT SHOULD CONTINUE TO SUPPORT THE FUTURES ON ANY  GIVEN SELLING AS WELL AS THE STRONG CURRENT CASH PRICE, THE SPREAD  BETWEEN CASH AND FUTURES ARE STILL VERY VERY WIDE :50 IDEAS ARE EVEN IF  THE CASH DOES COME DOWN HERE IN THE NEXT COUPLE OF WEEKS, THE  FUTURES WILL STILL HAVE TO BE SUPPORTED." SCOVILLE SAYS THERE'S A CHANCE THE FUTURES MARKET AT COULD TRADE  SIDEWAYS AND PERHAPS TRADE HIGHER AT LEAST THE NEXT TWO OR THREE WEEKS.  U.S. BEEF EXPORTS WERE 13% HIGHER BY VOLUME DURING THE FIRST TWO  MONTHS OF THIS YEAR, AND 17% HIGHER IN VALUE AT MORE THAN $1 BILLION.IN FEBRUARY THOSE SHIPMENTS COVERED NEARLY 13 PERCENT OF TOTAL BEEF  PRODUCTION CONTRIBUTING  277 DOLLARS PER HEAD OF FED SLAUGHTER ... UP  13 PERCENT FROM LAST YEAR. THE US MEAT EXPORT FEDERATION SAYS LARGER U.S. PRODUCTION HAS  OPENED UP EXPORT OPPORTUNITIES AND GENERATED POSITIVE RETURNS FOR  THE ENTIRE SUPPLY CHAIN. WHILE BEEF EXPORTS ARE RISING, BEEF IMPORTS TO THE U.S. ARE DECLINING. THROUGH THE FIRST TWO  MONTHS OF THE YEAR BEEF IMPORT TONNAGE IS DOWN 17%. THAT MEANS THAT WHILE U.S. BEEF  PRODUCTION HAS INCREASED 6% FROM LAST YEAR, U.S. PER CAPITA BEEF DISAPPEARANCE ONLY  INCREASED ABOUT 1.2% FOR THE FIRST QUARTER.HENDERSON SAYS THAT HAS BEEN A SIGNIFICANT FACTOR SUPPORTING THE  PRICE RALLY IN THE FED CATTLE MARKETS.  FED CATTLE PRICES WERE 14 PERCENT HIGHER DURING THE FIRST QUARTER OF  THIS YEAR COMPARED TO THE FOURTH QUARTER OF LAST YEAR, AND  FEEDYARDS HAVE ENJOYED 18 CONSECUTIVE WEEKS OF PROFITABILITY.   IF YOU'RE PLANNING A BIG EASTER DINNER THIS WEEKEND YOU CAN EXPECTED  TO PAY A BIT LESS THIS YEAR. THE AMERICAN FARM BUREAU FEDERATION'S SPRING PICNIC MARKET BASKET  SURVEY IS OUT. THE SURVEY OF 16 FOODS FOUND THE COST TO PREPARE ONE OR MORE MEALS  WAS 50 DOLLARS AND 3 CENTS.THAT'S DOWN 3 DOLLARS AND -25 CENTS FROM LAST YEAR.  11 OF THE 16 ITEMS DECREASED IN COST...INCLUDING GROUND CHUCK, SIRLOIN  TIP ROAST, CHICKEN AND EGGS.

TEASE
WE'LL TELL YOU ABOUT A NEW MACHINE THAT COULD "ALMOST" PUT LARGER  TRACTORS TO SHAME. DETAILS WHEN WE COME BACK 

IN THE COUNTRY
IN THE COUNTRY - BROUGHT TO YOU BY KUBOTA.  CHECK OUT KUBOTA'S RTV-X-1140, A RUGGED  UTILITY VEHICLE WITH SEATING FOR FOUR.  STOP BY YOUR LOCAL DEALER TODAY, OR VISIT KUBOTA.COM. IN THE WORLD OF FARM EQUIPMENT, SOME THINK BIGGER IS BETTER.  AND  BIGGER USUALLY MEANS MORE HORSEPOWER. BUT DODGE JUST UNVEILED A NEW CAR WITH SO-MUCH POWER IT SURPASSES  EVEN THE MOST POWERFUL TRACTORS FROM DEERE AND CASE I-H. FIAT-CHRYLSER TORE-UP THE STAGE AT THE NEW YORK INTERNATIONAL AUTO  SHOW WHEN  ITSHOWED-OFF ITS 800 HORSE DEMON DODGE CHALLENGER. THE DEMON IS AMONG THE MOST POWERFUL CARS EVER TO COME FROM THE  FACTORY.  THE COMPANY SAYS ITS AIR CONDITIONER COOLS THE ENGINE AIR INTAKE,  LETTING THE CAR INHALE MORE GASOLINE FOR ADDED POWER.  "SOME PEOPLE ARE GOING TO THINK WE WENT TO FAR AND THERE WILL BE PEOPLE THAT ASK WHY WE  BUILT A DEMON. WELL THE ANSWER IS REALLY EASY. BECAUSE THE QUEST TO BUILD A VEHICLE THAT GOES  FASTER THAN THE LAST ONE HAS FUELED EVERY GEARHEAD FOR OVER A CENTURY."> IT CAN BE EQUIPPED WITH A BUTTON ON THE DASHBOARD TO RUN ON HIGH- OCTANE FUEL FOR FASTER ACCELERATION, AND THERE'S AN OPTIONAL KIT WITH  SKINNY FRONT TIRES FOR LESS ROLLING RESISTANCE IN A QUARTER-MILE RACE. BACK TO TRACTORS - THE DEMON SURPASSES THE DEERE 9R-X WHICH AND THE  CASE I-H STEIGER QUAD TRACKS WITH THEIR 620 HORSES. OF COURSE, THEY  USE THAT POWER FOR TORQUE AND PULLING....AND NOT DRAGGING LIKE DODGE.

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.

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