AgDay Daily Recap - June 18, 2018

June 18, 2018 02:57 AM
 
AgDay

TODAY ON AGDAY
JUNE 18, 2018

HEADLINES

THE TRUMP ADMINISTRATION NOT BUDGING ON TARIFFS <"THE UNITED STATES HAS BEEN TAKEN ADVANTAGE OF FOR DECADES  AND DECADES AND WE CAN'T DO THAT ANYMORE."> AND NOW CHINA IS FIRING BACK.  <"THIS IS A TRADE WAR, A CLASSIC TRADE WAR."> THE PORK INDUSTRY FEELING THE PAIN OF MOUNTING  PRESSURE. <"WE ARE NOT JUST AT THE TIP OF THE SPEAR. THE SPEAR IS IN US AND THERE'S BLOOD ON THE FLOOR."> ROLLERCOASTER MARKETS CONTINUE.  AND IT'S NOT ICE CREAM AT THIS MOBILE BUSINESS-- GRAB A FILET OR LOBSTER FROM THIS PARKING LOT  SHOP. AGDAY-BROUGHT TO YOU BY THE DEPENDABLE, LONG  LASTING CHEVY SILVERADO. 

TARIFFS AND MARKET PRICES
GOOD MORNING I'M CLINTON GRIFFITHS. HOW WILL MARKETS REACT THIS WEEK FOLLOWING THE  PRESIDENT'S PLANS TO PUT A 25 PERCENT TARIFF ON  UP TO $50 BILLION OF CHINESE GOODS. THE DECISION IN RESPONSE TO ALLEGED  INTELLECTUAL PROPERTY THEFT BY CHINA. US TRADE REPRESENTATIVE ROBERT LIGHTHIZER SAYING QUOTE...  "TECHNOLOGY AND INNOVATION ARE AMERICA'S  GREATEST ECONOMIC ASSETS AND PRESIDENT TRUMP RIGHTFULLY RECOGNIZES THAT IF WE WANT OUR  COUNTRY TO HAVE A PROSPEROUS FUTURE, WE MUST  TAKE A STAND NOW TO UPHOLD FAIR TRADE AND  PROTECT AMERICAN COMPETITIVENESS." LIGHTHIZER SAYING THE U.S. WILL IMPOSE A FIRST SET  OF TARIFFS ON 818 ITEMS WORTH ABOUT $34 BILLION  ON JULY 6.  SEPARATE MEASURES WORTH ABOUT $16 BILLION  COULD TAKE EFFECT FOLLOWING A REVIEW AND PUBLIC  COMMENT PROCESS. THE WHITE HOUSE ALSO SAYING IT'S PLANNING BROAD INVESTMENT RESTRICTIONS FOR CHINA. THOSE ARE SET TO BE ANNOUNCED BY THE END OF THE  MONTH. BEIJING FIRING BACK -ANNOUNCING PLANS TO SLAP ITS  OWN 25 PERCENT RETALIATORY TARIFFS ON U.S. PRODUCTS. ON THE LIST INCLUDES U-S SOYBEANS, BEEF, ORANGE  JUICE AND WHISKEY. THOSE ARE SET TO GO INTO EFFECT ON JULY 6TH.  CHINA IMPORTS ROUGHLY 60 PERCENT OF ALL U.S.  SOYBEAN EXPORTS. IT'S BEIJING'S PROMISE TO RETALIATE THAT HAD  COMMODITY MARKETS NERVOUS..ON FRIDAY GRAINS  DROPPING IN EARLY TRADE BEFORE RECOVERING. <THIS APPEARS TO ME TO BE A VERY CLASSIC BUY THE RUMOR SELL THE FACT SCENARIO. THE RUMOR HERE OF COURSE WAS THAT TRUMP WOULD  IMPOSE TARIFFS. THE FACT IS THAT IN FACT HE DID. AND UPON THAT FACT  WE SAW THE MARKETS REBOUND. SO HAVE WE TOTALLY PRICED INTO A  TRADE WAR. IT'S TOUGH TO SAY BECAUSE I DON'T THINK THE STORY IS OVER  YET. > VACLAVIK SAYS NOW THAT CHINA HAS RELEASED IT'S OWN SET OF RETALIATORY TARIFFS, MARKETS COULD DROP THIS WEEK.  CHINA'S MINISTRY OF COMMERCE SAYING IN RECENT  WEEKS THE U.S. AND CHINA HAD MADE PROGRESS ON A  DEAL THAT INVOLVES ADDITIONAL PURCHASES OF U.S. AG GOODS. THE CHINESE SAY THAT OFFER IS NOW "INVALID." THE NON-PROFIT GROUP, FARMERS FOR FREE TRADE,  SAYING THE ADMINISTRATION'S MOVE TO ADD ADDITIONAL TARIFFS ON CHINA IS QUOTE - DOWNRIGHT  SCARY. <"THE FARM COMMUNITY MAY BE WILLING TO TAKE A BLACK EYE, THEY'RE  NOT WILLING TO TAKE A BROKEN ARM. AND IT REALLY COMES DOWN TO  HOW MUCH IS GOING TO GET DONE. IT COMES DOWN TO HOW MUCH  DAMAGE IS GOING TO OCCUR. THIS IS REAL. REAL DAMAGE IS BEING  DONE TO U.S. AGRICULTURE."> KEY-EEL SAYS THIS SITUATION IS FRIGHTENING FOR ALL  U.S. FARMER AND B ELIEVES THIS IS A TRADE WAR.  THE AG INDUSTRY IS BANDING TOGETHER SEEKING  HELP FOR THESE RECENT TRADE DISPUTES.  SOYBEAN, CORN, AND WHEAT GROWERS, EQUIPMENT  MANUFACTURERS AMONG THOSE ASKING MEMBERS OF  CONGRESS FOR LAST-MINUTE HELP TO PUSH BACK  AGAINST THE ADMINISTRATION'S PLAN TO IMPOSE TARIFFS. MEANWHILE THE USDA SAYS IT CONTINUES TO TALK  ABOUT A 'STOP GAP' PROGRAM-- MONEY SET ASIDE TO  HELP PRODUCERS HIT BY THE TARIFF DECISION.    <" WE CONTINUE TO LOOK FOR THOSE OPPORTUNITIES DOWN THE ROAD TO SEE HOW THEY'VE BEEN IMPACTED BY THESE NEGOTIATIONS AND IF  THERE'S A ROLL FOR USDA TO PLAY AND BOTH THE SECRETARY AND THE  PRESIDENT SAY THEY WANT TO WORK TO MITIGATE THE IMPACT ITS HAD ON AG. ME: AND USDA IS INVOLVED IN THOSE TALKS? GREG: YES, USDA IS  INVOLVED IN THOSE TALKS DUIRNG A DAILY BASIS."> 

PORK TARIFFS
MEANWHILE, CLOSER TO HOME...NEW REPORTS FRIDAY SAY MEXICO IS MULLING PLANS TO HIT THE U-S WITH  MORE TARIFFS...ON TOP OF THE PORK TARIFFS ITS  ALREADY PUT IN PLACE. THIS TIME MEXICO IS CONSIDERING 4 BILLION DOLLARS IN TARIFFS ON CORN, SOYBEANS AND OTHER ITEMS.  REUTERS REPORTING THAT MEXICO IS TRYING TO FIND  ALTERNATIVE SUPPLIERS...BUT MEXICO'S ECONOMY  MINISTRY WOULD NOT CONFIRM THE NEW TARIFF  TARGETS. AS I MENTIONED MEXICO ALREADY PUTTING A 25 PERCENT TARIFF ON PORK AND PORK PRODUCTS. CHINA HAS DONE THE SAME. BETSY JIBBEN SPOKE WITH PORK PRODUCERS LAST WEEK ABOUT THE PROBLEMS BUILDING FOR THE INDUSTRY IN 2018. THE FUTURE OF THE U.S. PORK INDUSTRY IS GETTING  MIXED SIGNALS IN MID 2018.  <"USDA HAS PRODUCTION PEGGED AT A 4.6 PERCENT INCREASE IN 2018  FROM LAST YEAR'S RECORD PRODUCTION,"> NEW SHACKLE SPACE IS COMIGN ONLINE OT HELP  PROCESS THOSE SUPPLIES.  ECONOMISTS SAY DOMESTIC CONSUMPTION IS GOOD..   WE HAVE RETAIL PRICES OF PORK THAT'S ACTUALLY UP 2 PERCENT  THIS YEAR,"> <"WE ARE LOOKING AT LOSSES RIGHT NOW OF ABOUT 11 DOLLARS PER  HEAD ON AVERAGE. 27 AS WE PROJECT OUT TO 2019,"> <" THAT MAKES LOSSES RIGHT NOW PROJECTED OUT TO BE 14 DOLLARS PER  HEAD OF LOSS FOR FARROW TO FINISH AVERAGE COST PRODUCERS IN 2019,"> THOSE NUMBERS DON'T INCLUDE THE TRADE TARIFFS AND HIGH UNCERTANITY LOOMING OVER THE INDUSTRY. BOTH CHINA AND MEXICO NOW HAVE TARIFFS ON U.S.  PORK PRODUCTS AFTER PRESIDENT TRUMP'S  ANNOUNCED TARIFFS ON STEEL AND ALUMINUM. THE EU AND CANADA ARE ALSO PROMISING TO RETALIATE TO SOME EXTENT. <"THE UNITED STATES HAS BEEN TAKEN ADVANTAGE OF FOR DECADES  AND DECADES AND WE CAN'T DO THAT ANYMORE."> THE RELATIONSHIP BETWEEN CHINA AND THE U.S. IS  COMPLICATED. THE ADMNISTRATION FOCUSING ON THE THEFT OF  INTELLUCTUAL PROPERTY  AND DECREASING A 375 BILLION DOLLAR TRADE DEFICIT. " THESE ISSUES IN TERMS OF INTELLECTUAL PROPERTY AND DISCUSSIONS  WITH CHINA AND STEEL PROBLEMS, THESE ARE STRUCTRUAL PROBLEMS IN  THE STEEL AND ALUMINUM MARKET WHICH IS A SEPERATE ISSUE.'> <"HOW IS THIS ALL GOING TO PLAY OUT? WE DON'T KNOW THE ANSWER TO THAT. BUT WE DO KNOW, I CAN TELL YOU SINCE I'M A GUY WHO HAS  WORKED IN WASHINGTON D.C. FOR 25 YEARS, THEY NEEDED TO BE  ADDRESSED."> IT'S A MESSAGE WITH SPLIT REACTIONS IN FARM COUNTRY. <"MEXICO IS OUR LARGEST MARKET, CHINA IS A HUGE MARKET. SO IT  REALLY HURTS. WE NEED THESE TARIFFS TO BE LIFTED AS SOON AS POSSIBLE."> THE PORK INDUSTRY FIRST HIT BY CHINA WITH 25  PERCENT PUNATIVE TARIFFS   THEN MEXICO  PUT 10 PERCENT TARIFFS ON PORK  WHICH  ESCALATES TO 20 PERCENT ON JULY 5.  <"WE ARE NOT JUST AT THE TIP OF THE SPEAR. THE SPEAR IS IN US AND  THERE'S BLOOD ON THE FLOOR."> SOME ECONOMISTS MAKING THEIR OWN PROJECTIONS  OF CHINA'S TARIFF IMPACT ON U.S. ORK  <"TO BE CONSERVATIVE, I'D SAY AT LEAST 1.1 BILLION DOLLARS LOST AND POSSIBLY MORE,"> HAYES SAYS WHEN YOU ADD IN MEXICO..  <"CHINA IS 1.1 BILLION DOLLARS ANNUALLY AND MEXICO IS AN ADDITIONAL  1.5 BILLION DOLLARS IN LOSS."> BUT NOT ALL ECONOMISTS AGREE...  <WE WEREN'T GOING TO BE SELLING  MUCH TO CHINA THIS YEAR ANYWAY.  THEY HAVE A LOT OF PIGS ARE THEIR PRICES ARE SO LOW."> MEXICO, THE LARGEST MARKET IS PUTTING TARIFFS ON  PIG SHOULDERS AND LEGS.  BUT THE U.S. CAN STILL SELL PORK TO MEXICO  THOURHG AN IMPORT QUOTA.  THEY BUY A HUGE AMOUNT OF PORK LEGS OR HAMS.  PROBALBY 40 TO 50 PERCENT OF WHAT WE PRODUCE HERE GOES TO  MEXICO. 13   18 A QUESTION IS ARE THERE ALTERNATIVE MARKETS? ON  THE SHOULDER SIDE THERE PROBABLY IS. ,"> <"ON THE FRESH LEG, I'M NOT SO SURE ABOUT THAT ONE. ."> TRADE FRUSTRATIONS AND UNCERTAINITY PORK  PRODUCERS HOPE WILL SUBSIDE.  REPORTING FOR AGDAY, I'M BETSY JIBBEN.  THANKS BETSY. THERE'S STILL HOPE, CANADA, MEXICO AND THE U.S.  CAN FINALIZE A NEW NAFTA AGREEMENT. CANADA'S LEAD TRADE OFFICIAL SAYING NAFTA 2 POINT  0 TALKS WILL EXTEND INTO SUMMER.  FOREIGN MINISTER CHRYSITA FREELAND MAKING THE  STATEMENT FOLLOWING A MEETING IN WASHINGTON  WITH U.S. ADMINISTRATION OFFICIALS.  SHE STATED THAT ALL THREE COUNTRIES ARE MAKING  MEANINGFUL PROGRESS, BUT NEED TO KEEP WORKING  TO GET TO A DEAL COMPLETED ON MODERNIZING NAFTA.  

CANADA-U.S. TRADE
MEANWHILE, USDA AG SECRETARY SONNY PERDUE MET WITH HIS COUNTERPART IN CANADA FRIDAY. THE BILATERAL MEETING FOCUSING ON FURTHER  COOPERATION BETWEEN CANADA AND THE U-S  REGARDING AGRICULTURE.  

CROP COMMENTS
MIKE HOFFMAN IS JOINING US THIS MONDAY MORNING WITH A LOOK AT CROP COMMENTS. MIKE. GOOD MORNING, CLINTON.  TODAY'S CROP COMMENT COMES FROM CHRIS ELKINS  IN BROWNFIELD, TEXAS, NEAR LUBBOCK.  AS OF FRIDAY, CHRIS SAYS HIS AREA HAS RECEIVED LESS THAN 2 INCHES OF RAIN SINCE SEPTEMBER, JUST  WEST OF HIM AS ACCUMULATED EVEN LESS THAN THAN  THAT.  HOPEFULLY THE WEATHER WILL CHANGE, THERE'S RAIN IN THE FORECAST  THIS WEEK.  HOPEFULLY THE WEATHER WILL CHANGE, THERE'S RAIN IN THE FORECAST THIS WEEK. AND TAKING A LOOK AT THE DROUGHT MONITOR YOU CAN SEE WE ARE STILL VERY DRY FROM NORTHERN MISSOURI SOUTHERN IOWA ALL THE WAY THROUGH THE SOUTHWEST AND SOUTH TEXAS. BUT SOME OF THAT AREA IS GOING TO GET SOME RAIN. WE'LL SHOW YOU THAT FORECAST COMING UP IN A LITTLE WHILE. BUT FIRST HERE ARE SOME HOMETOWN TEMPS​

TEASE
WE'VE GOT THE TEAM GATHERED FOR A GREAT CONVERSATION AROUND MARKETS AND PREPARING  FOR WHAT COULD BE ANOTHER BUMPY WEEK OF TRADE  NEWS. AND IF YOU HAVE SOME OLDER EQUIPMENT SITTING  AROUND YOUR OPERATION,  MACHINERY PETE HAS AN UPDATE ON RESALE VALUES  

JAPAN STOPS CANADIAN WHEAT PURCHASES
IN AGRIBUSINESS, JAPAN SAYS IT'S HALTING PURCHASING OF CANADIAN WHEAT. THAT FOLLOWS THE DISCOVERY OF UNAPPROVED GMO  WHEAT IN THE WESTERN CANADIAN PROVINCE OF  ALBERTA. JAPAN SAID IT WAS SUSPENDING THE TENDER AND SALE  OF CANADIAN WHEAT UNTIL OFFICIALS CAN CONFIRM  THAT THE CANADIAN WHEAT THAT JAPAN IS BUYING  DOESN'T CONTAIN ANY GMO TRAITS.  

AGRIBUSINESS
<HERE AT THE AGRIBUSINESS DESK THIS WEEK WE'VE GOT CRAIG  VANDYKE TOP THIRD AG AND BRIAN ROACH WITH ROACH AG MARKETING.  THANK YOU BOTH FOR BEING HERE. ALL RIGHT. WHAT DO WE WATCH LAST WEEK. ANYTHING OTHER THAN TRADE THAT IS TOP OF YOUR LIST FOR HOW  MARKETS ARE GOING TO GO BRUNELL SORT OF. WELL WE TRIGGERED LAST  MONDAY. YOU KNOW THE I THINK THE TRADE CONCERN TRIGGERS TRIGGERED THE CORN AND SOYBEAN MARKETS AND THE REVERSALS GO  BACK AND LOOK AT THE CROP RATINGS CROP RATINGS WERE EXCELLENT  AND THAT SENT US INTO A LONG DOWNTREND THAT WE'VE REALLY WE'RE STILL IN. AND SO THE SPECS HAVE LONG LIQUIDATION THAT WE'RE SEEING.  I THINK WHAT WE'RE GOING TO SEE HERE IS WHEN YOU SEE THE SPECS  AND CORN AND SOYBEANS GO SHORT THEY'VE DONE THAT OVER AND  OVER AND I THINK THAT FROM A FARMER STANDPOINT YOU SHOULDN'T WE  SHOULDN'T BE TOO SHAKEN UP ON THAT BECAUSE THAT'S A NORMAL  PATTERN. AND I THINK THEN IT SETS UP OK FOR NEXT WEEK ONCE WE GET THROUGH THIS HOT WEATHER. THERE ARE SOME RAINS COMING IN. WHAT  ARE THE EXTENDED MAPS LOOK LIKE AND IT WILL BEGIN TO TRADE THAT. I  THINK THAT'S REALLY WHERE WE'RE AT WE'RE WE'RE INTO WE'RE WATCHING  THE WEATHER EVERY DAY AND COURSE WHAT'S GOING ON WITH CHINA AND NAFTA. BUT I THINK THAT'S WHERE MY FOCUS WILL BE. WHAT  ABOUT YOU. YOU KNOW I THINK A LOT OF THE CONVERSATION IS GOING TO  BE WHAT'S WHETHER OR WHAT'S GOING ON WITH TARIFFS AND SO FORTH IN  MY OPINION. WHAT I'M WATCHING AFTER THIS BIG BREAK NOW IS PRICE  ACTION. TO ME THAT'S THE MOST IMPORTANT FUNCTION OF WHAT'S GOING ON HERE. I ALWAYS ASSUME THE MARKET KNOWS WHAT'S GOING ON IN  GENERAL. BEFORE I DO SO MY OPINION THE PRICE ACTION TO ME IS  GOING TO HELP TELL THE STORY MOVING FORWARD AND THEN WE'LL KNOW. YOU KNOW OH THE WEATHER IS SHIFTING O THE TARIFF STORY LINES  CHANGING OLD DEMAND IS SHIFTING ONE WAY OR THE OTHER. SO YOU  KNOW FOR ME AFTER A BIG BREAK LIKE THIS YOU KNOW I WANT TO SEE A MARKET THAT CAN KNOCK OUT ALL THE CANS ON THIS. ON THE OTHER SIDE  AND HAVE A NICELY HIGHER CLOSE. SO FOR ME PRICE ACTION IS GOING  TO BE THE MOST IMPORTANT FUNCTION COMING INTO THE END OF THE MONTH. ARE YOU FINDING ANY WAYS TO BE ENCOURAGED. WELL I MEAN  WHEN WE HAD A LOT OF SELLING OPPORTUNITIES BEFORE THIS BIG BREAK  WE HAD THREE OR THREE GOOD ONES IN CORN AND PROBABLY THREE OR FOUR IN SOYBEANS. I THINK FROM THE GROWER SIDE THERE'S BEEN A LOT  OF CORN THAT MOVED A LOT OF CORN THAT'S HEDGED TALKING TO A LOT OF  ELEVATORS. THE LAST TWO WEEKS A LOT OF GROWERS IN SOME AREAS  ARE FURTHER HEDGED NOW THAN THEY HAVE BEEN IN PAST COUPLE OF  YEARS SO I THINK THAT'S THAT'S VERY POSITIVE. AND I THINK THAT THE LOOK FORWARD ON THE FUNDAMENTAL SIDE IS STILL EVEN IF WE HAVE BIG  CROPS IN THE U.S. WE STILL HAVE A GOOD WINTER AND SPRING TIME TO  LOOK AT. OKAY LOTS TO WATCH. CRAIG PREACHIN THANK YOU BRIAN WE'LL BE BACK WITH MORE AGDAY IN JUST A MINUTE.0> 

WEATHER
WELCOME BACK TO AGDAY. METEOROLOGIST MIKE HOFFMAN MIKE AS WE LOOK AT RAINFALL OVER THE PAST WEEK YOU CAN SEE THERE THERE ARE PLACES THAT GOT SOME DECENT RAINFALL RIGHT. UNFORTUNATELY A LOT OF IT'S USUALLY IN AREAS THAT DON'T NECESSARILY NEED IT BECAUSE THEY'VE BEEN GETTING IT. BUT NONETHELESS THAT'S THE WAY IT WORKED OUT. BUT THE GOOD NEWS AS YOU'LL SEE IN MY FORECAST IS THAT WE'RE ACTUALLY GOING TO SEE A FAIR AMOUNT OF MOISTURE IN A LOT OF THESE AREAS THAT HAVE STAYED DRY. NOW YOU WILL NOTICE THE PANHANDLE OF TEXAS AND SOME OF THE SURROUNDING AREAS THERE ARE POCKETS. THEY'VE GOT AN INCH OVER THE LAST WEEK. OTHER POCKETS DIDN'T GET ANYTHING BUT YOU CAN SEE THE HEAVIER AMOUNTS. A WEEK AGO FRIDAY TO THIS PAST SATURDAY I SHOULD SAY TO THIS PAST FRIDAY YOU CAN SEE SOME OF THE HEAVIER AMOUNTS CENTRAL IN SOUTH FLORIDA. NO LONGER WORRYING ABOUT ANY DROUGHT DOWN THERE AND ALSO PANHANDLE OF FLORIDA. BACK TO JUST EAST OF NEW ORLEANS SOME OF THOSE AREAS HAD 3 4 5 INCHES OF RAIN CHECKING OUT. FARTHER NORTH THAN WE REMEMBER THOSE COMPLEXES WE HAD SEVERAL DAYS WERE COMPLEXES REFORMING SOUTHERN MINNESOTA NORTHERN IOWA MOVING OFF TO THE SOUTHEAST WITH SOME OF THE HEAVIER ONES MADE IT INTO ILLINOIS NORTHWEST ILLINOIS SOUTH EASTERN SOUTH CENTRAL ILLINOIS NOT QUITE INTO SOUTHERN PORTIONS AND INTO WEST CENTRAL AND SOUTHWESTERN INDIANA. THOSE AREAS ENDED UP WITH 5 SIX INCHES OF RAIN IN SOME PLACES. BUT THE REALLY DRY AREAS NORTH CENTRAL MISSOURI BACK IN KANSAS DIDN'T SEE A WHOLE LOT. SO THAT'S THE WAY THAT WORKS OUT. HERE'S THE JET STREAM AS WE START THE WEEK.  IT IS HOT FROM THE GREAT LAKES THROUGH FLORIDA BECAUSE OF THIS BIG RIDGE. NOW THIS CUT OFF LOW IN THE SOUTHWEST HAS BEEN HELPING IT PULLED UP THE REMNANTS OF BUD THAT CAME THROUGH THE SOUTHWEST IT'S NOW KIND OF CHANNELING INTO THE NORTHERN PLAINS AND NORTHERN GREAT LAKES AS WE START THE WEEK. BUT AS WE HEAD THROUGH THE WEEK YOU WILL NOTICE A TROUGH BEGINS TO DIG IN. THE HEAT STARTS TO BE SHOVED FARTHER SOUTH IN THE GREAT LAKES AND THE NORTHEAST BY THE MIDDLE OF THE WEEK AND BY THE END OF IT WE'RE INTO A TROUGH IN THE NORTHEAST AND THAT WILL KEEP THINGS COOLER FOR THE GREAT LAKES IN THE NORTHEAST. KIND OF A DIFFERENT SCENARIO OFF TO THE WEST AS YOU CAN SEE THERE WITH SOME TROUGHS STILL DEVELOPING AND THAT SHOULD CONTINUE THE MOISTURE INTO THE SOUTHWEST AT LEAST OCCASIONALLY. SO TEMPERATURES THIS WEEK BELOW NORMAL IN THE SOUTHWEST COLORADO SOUTHWARD ABOVE NORMAL THEN SOUTHERN MISSISSIPPI VALLEY INTO THE SOUTHEAST AND NORTHERN GREAT LAKES AND THE WEST COAST. AND YOU CAN KIND OF SEE THE ABOVE NORMAL PRECIPITATION IS KIND OF IN THOSE SAME AREAS AND BELOW NORMAL FARTHER NORTH AND WEST 30 TO OUTLOOK FOR TEMPERATURES ABOVE NORMAL A LOT OF THE CORN BELT IN THE WEST BELOW NORMAL SOUTHWEST AND THE FAR NORTHEASTERN PRECIPITATION ABOVE NORMAL SOUTHERN GREAT LAKES TO THE GULF COAST AND ALSO FOUR CORNERS SOUTHWARD. THAT'S A LOOK ACROSS THE COUNTRY. NOW LET'S TAKE A LOOK AT SOME LOCAL FORECASTS TOOK THEM CARRY NEW MEXICO. FIRST OF ALL VARIABLY CLOUDY SLIGHT CHANCE OF A SHOWER.  HIGH TEMPERATURE OF 89 DEGREES RHINELANDER WISCONSIN COOLER WITH SHOWERS AND A THUNDERSTORM PRETTY LIKELY HIGH OF 73 AND FLORENCE SOUTH CAROLINA MAYBE A MORNING SHOWER THEN PARTLY SUNNY HIGH 94. 

TEASE
OUR GOOD FRIEND MACHINERY PETE STOPS BY NEXTWANT TO KEEP YOUR MONEY IN YOUR CHECKING ACCOUNT FOLKS. ONE TIP TAKE BETTER CARE OF YOUR EQUIPMENT. STICK AROUND AND I'LL SHOW YOU THE PROOF AND LATER AN ONLINE RETAILER TAKES TO THE STREETS FOR A PERSONAL TOUCH.

MACHINERY PETE
MACHINERY PETE SAYS ROUGH CONDITION EQUIPMENT IS HAVING A TOUGH TIME AT AUCTION. GREG. WELL OF COURSE LAST WEEK WAS A TOUGH ONE WITH THE MARKETS.  PEOPLE HAVE BEEN ASKING ME HEY PETE WHAT'S HAPPENING WITH  NEWS VALUES. WELL WHAT'S HAPPENED IS A CONTINUATION OF A TREND I SAW BEGINNING ABOUT 12 MONTHS AGO. THE RAUFER CONDITION USED  EQUIPMENT IS GETTING SOFTER. WE ACTUALLY SAW PROOF OF THAT. LAST  THURSDAY WE FILMED THE FARM AUCTION FOR MACHINERY TV SHOW UP IN CENTRAL NORTH DAKOTA. THE EQUIPMENT ON THE SALE WAS JUST  KIND OF AVERAGE WHICH IS TOTALLY FINE. I MEAN WE KNOW THAT NOT  EVERYTHING IS SHINY AND A RECORD PRICE. BUT ALL THESE YEARS DOESN'T MATTER TO US. WE JUST WANT TO COMPILE THE DATA LET YOU  KNOW WHAT'S HAPPENING IN THE MARKET. SO A COUPLE OF EXAMPLES  FROM THE SALE. HERE'S A PICTURE OF A 1995 FORD NEW HOLLAND 8970. THIS THING AT EIGHTY SEVEN HUNDRED FIFTY FIVE HOURS ON AND  SOLD FOR NINETEEN THOUSAND FIVE HUNDRED DOLLARS. NOW COMING  INTO THE SALE THE LAST 30 8970S I'D SEEN SOLD AT AUCTION AVERAGE PRICE THIRTY THOUSAND ONE HUNDRED SIXTY FIVE DOLLARS. SO IT SHOWS  YOU THE EFFECT CONDITION CAN HAVE ON SALE PRICE. NOW OTHER  TRACTOR ON THE SALE LAST THURSDAY IT WAS THIS 1991 FORD VERSATILE 976. AND THIS THING HAD JUST UNDER TEN THOUSAND SEVEN HUNDRED  DOLLARS ON IT SOLD FOR FOURTEEN THOUSAND SEVEN HUNDRED FIFTY  DOLLARS AND WAS PURCHASED BY A LOCAL JOCKEY. NOW THE SAME AUCTION FIRM THE STEPHAS GROUP ACTUALLY HAD ANOTHER FARM SALE  EXACTLY ONE WEEK EARLIER OVER IN NORTHWEST MINNESOTA AND THEY  SOLD ANOTHER 976. HERE'S A PICTURE OF IT. THIS THING WAS A 93 MODEL JUST OVER 98 HUNDRED HOURS ON IT FOR 23 FIVE SOLD MORE  CONCRETE PROOF HERE FOLKS TAKE GREAT CARE OF YOUR EQUIPMENT. IT  PAYS IN THE LONG RUN.> 

TEASE
UP NEXT BUYING YOUR BEEF FROM A PARKING LOT TRUCK...WE'LL TELL YOU WHO'S SELLING AFTER THE  BREAK. 

IN THE COUNTRY
YOU REMEMBER THE OLD ICE CREAM TRUCK OR RURAL DELIVERY FOLKS THAT STOPPED BY EVERY FEW WEEKS  TO GOODS TO SELL. BUT WOULD YOU BUY YOUR BEEF OR SEAFOOD FROM A  PARKING LOT TRUCK?       AMAZON ROLLING OUT TREASURE TRUCKS TO VARIOUS  LOCATIONS AROUND THE COUNTRY. THE ICE CREAM TRUCK STYLE SHOP IS SELLING  EVERYTHING FROM BEEF, TO SEAFOOD AND EVEN  ELECTRONICS. THE TRUCKS DEBUTED TWO YEARS AGO AND NOW  ROAM NEARLY 40 CITIES IN THE U.S. AND ENGLAND. TREASURE TRUCK SALES ARE ONLY A SMALL PART OF  THE ONLINE GIANT'S BUSINESS, BUT IT HELPS THE  COMPANY TO SEE WHICH PRODUCTS ARE HOT SELLERS.  "WELL, THEY OFFER ALL  SORTS OF DIFFERENT THINGS, THEY'VE GOT PRODUCTS, FOOD, YOU'VE GOT  GREAT DEALS ON SALMON AND BEEF AND BURGERS. THE PRICES ARE  GREAT AND IT'S PRETTY CONVENIENT TO STOP BY AND PICK ONE UP."  "IT'S THEIR WAY OF  GETTING BUZZ, THEIR WAY OF GETTING SOCIAL MEDIA ATTENTION AND GETTING PEOPLE EXCITED. IT ALSO DRIVES FREQUENCY. IT GETS PEOPLE TO  SIGN UP FOR THE EMAIL LISTS AND GET EXCITED ABOUT AMAZON." AMAZON PICKS WHAT'S SOLD ON THE TRUCKS,  THERE ARE HOLIDAY-RELATED GOODS, LIKE CHOCOLATES AND RED ROSES ON VALENTINE'S DAY; TRENDY ITEMS, AND FOOD, SUCH AS UNCOOKED SHRIMP OR RAW CHICKEN WINGS.  

CLOSE
THAT'S ALL THE TIME WE HAVE THIS MORNING. WE'RE GLAD YOU TUNED IN.  FOR MIKE HOFFMAN, AND BETSY JIBBEN. IM 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