USFR Weekly Recap - April 22-23, 2017

April 22, 2017 03:30 AM
 
USFR_logo

TODAY ON U.S. FARM REPORT
APRIL 22-23, 2017


HEADLINES
WELCOME TO U.S. FARM REPORT. I'M TYNE MORGAN,  AND HERE'S WHAT WE'RE WORKING ON FOR YOU OVER  THE NEXT 60 MINUTES. A DAIRY FAMILY IN WISCONSIN PUT ON A 30-DAY NOTICE  TO FIND A NEW HOME FOR THEIR MILK...  <SO YOU DIDN'T GET A PHONE CALL? NO, IN FACT BEORE I READ THIS , I  FOUND OUT ON FACEBOOK> WHILE THE PRESIDENT SAY FIXING NAFTA WILL HELP,  CANADA IS PUSHING BACK. WHAT'S BEEN THE BIGGEST SURPRISE FOR MACHINERY PETE IN 2017?  < BOY, FIRST 3 1/2 MONTHS OF 2017, WE'VE SEEN SOME REALLY STRONG  PRICES ON SPRAYERS.> WE'RE ON THE ROAD WITH MACHINERY PETE. AS RANCHERS IN THE PLAINS TRY TO RISE FROM THE  ASHES, THE DEVESTATION STILL FRESH IN THEIR  MINDS... <IT 'S GONE AND IT'S DEVASTATING, IT'S HARD TO WAKE UP AND LOOK AT WHAT YOU AHVE, OR WHAT YOU DON'T HAVE> BUT THER'S A NEW WAY TO HELP. WE'LL TELL YOU  ABOUT THE MILLION DOLLAR WILDFIRE RELIEF  CHALLENGE. AND IN JOHN'S WORLD... <WHAT DOES THE CURRENTY MANIPULATOR REALLY  MEAN? > <U.S. FARM REPORT - BROUGHT TO YOU BY THE DEPENDABLE, LONG  LASTING, CHEVY SILVERADO.>

TALKS OF BILATERAL TRADE WITH JAPAN
NOW FOR THE MARKET RELATED NEWS,  THE TRUMP  ADMINISTRATION TAKING THE FIRST STEP IN LAUNCHING  A BILATERAL TRADE DEAL WITH JAPAN, IN HOPES OF  REACHING A NEW TRADE DEAL.  DURING HIS 10 DAY TOUR OF ASIA, VICE PRESIDENT  MIKE PENCE LAUNCHING BILATER TRADE TALKS, TO  TAKE THE PLACE OF THE TRANS PACOFIC  PARTNERSHIP.  WHILE JAPAN SAYS IT WONT' GIVE UP ON THE TPP AND WILL MOVE AHEAD WITHOUT THE U-S, PENCE STILL  PUSHING FOR WHAT HE CALLS A BALANCED BILATERAL  TRADE RELATIONSHIP WITH NOT ONLY JAPAN, BUT  OTHER COUNTRIES.  <. OUR GOAL IS SIMPLE, WE SEEK TRADE THAT IS FREE, AND WE SEEK  TRADE THAT IS FAIR. THIS REQURIES BREAKING DOWN BARRIERS, LEVELIGN  THE PLAYINF FIELD SO THAT AMERICAN COMPANIES AND EXPORTERS CAN ENJOY HIGH LEVELS OF MARKET ACCESS. >DETAILS AREN'T BEING NEGOTIATED YET, AS THE U-S  DOESN'T HAVE A U-S TRADE REPRESENATTIVE  CONFIRMED. 

LEAN HOG FUTURES
LEAN HOG FUTURES SEEING MAJOR PRICE PRESSURE  THIS WEEK, FALLING TO THE LOWEST LEVEL SINCE  OCTOBER. HERD EXPANSION AND FUND LIQUIDATION LEADING TO  THE DOWNWARD SLOPE. HERE'S STANDARD GRAIN'S JOE VACLAVIK ON THE  SIXTH MONTH LOW IN PRICES. .  <FUNDS HAVE BEEN BIG SELLERS AGGRESSIVE SELLERS OF HOG FUTURES  IN RECENT WEEKS. IF YOU LOOK AT THE CFTC REPORT, FUNDS ONCE HAD A  BIG TIME LONG POSITION, AND THEY'VE BEEN AGGRESSIVE SELLERS OF IT  FOR HTE LAST COUPLE OF MONTHS REALLY, FUNDS ARE STILL PROBABLY NET  LONG JUST A LITTLE BIT HERE FAR CRY FROM WHERE THEY WERE 8 OR 9  WEEKS AGO. BUT ALSO SELLING HAS BEEN A BIG PART OF HTE RECENT SELL  OFF HERE>

DAIRY PRODUCTION
WHILE U-S DAIRY FARMERS FACE AN OVERSUPPLY  SITUATION, PRODUCTION CONTINUES TO CLIMB. USDA'S LATEST MILK PRODUCTION REPORT SHWOING  PRODUCTION GREW 1 POINT 8 PERCENT IN MARCH,  TOTALLYING 17.5 BILLION POUNDS. PRODUCTION PER COW IS ALSO ON THE RISE, UP 18  POUNDS ABOVE LAST YEAR. SOUTH DAKOTA SEEING THE BIGGEST JUMP, WITH  STATE PRODUCTION CLIMBING 16 POINT 4 PERCENT. 

BRAZILIAN MEAT SCANDAL
63 PEOPLE WERE INDICTED WITHIN BRAZIL'S MINISTRY  OF AGRICULTURE  OVER THE MEAT PACKING SCANDAL. THE CHARGES SURROUND FEDERAL AUTHORITIES,  ACCUSED OF TAKING BRIBES IN EXCHANGE FOR  FRAUDULENT SANITARY PERMITS. AND CLAIMS THIS WENT ON FOR YEARS. THIS STEMS FROM THE POLICE PROBE ON MARCH 17TH  INTO THE WORLD'S LARGEST BEEF EXPORTER. AFTER THE RAIDS, THE COUNNTRY'S EXPORTS  PLUMMETED, BUT HAVE SINCE REBOUNDED. 

MEXICO-ARGENTINA TRADE DEAL
OFFICIALS IN MEXICO THINK THEY COULD HAVE A TRADE  DEAL WITH ARGENTINA WORKED OUT BY THE END OF  THE YEAR. THAT INCLUDES REDUCING TARIFFS ON BOTH  AUTOMOBILES AND AG PRODUCTS. REUTERS REPORTING TALKS ADVANCED THIS WEEK, AS  MEXICAN OFFICIALS LOOK FOR OTHER SOURCES OF  PRODUCTS SUCH AS GRAIN.

PLANTING PROGRESS
FARMERS ABLE TO MAKE SOME PLANTING PROGRESS  LAST WEEK, BUT PROGRESS STILL LAGGING LAST YEAR. USDA SAYS 6 PERCENT OF HTE CORN CROP IS IN THE  GROUND, DOWN 6 PERCENTAGE POITNS FROM LAST YEAR. BUT 8 PERCENT OF THE COTTON CROP IS PLANTED.  THAT'S A POINT AHEAD OF AVERAGE AND USDA CALLING 54 PERCENT OF THE WINTER WHEAT  CROP GOOD TO EXCELLENT, IMPROVING ONE POINT  FROM LAST WEEK.  DROUGHT STARTING TO CREEP ACROSS THE  SOUTHEAST AGAIN.  THE LATEST DROUGHT MONITOR SHOWING 80 PERCENT  OF THE REGION IS CONSIDERED ABNORMALLYL DRY, AN  INCREASE OF 5 POINTS IN A WEEK. AND 44 PERCENT IS IN MODERATE DROUGHT... A JUMP  OF 11 POITNS IN THE PAST WEEK.  BUT IMPROVEMENTS IN THE SOUTHERN PLAINS. KANSAS  SEEING A 5 POINT IMPROVEMENT TEH ABNORMALLY  DRY CONDITIONS, AND D-1 OR MODERATE DROUGHT, IS  PRETTY MUCH WIPED OFF THE MAP IN THAT STATE, A  BIG IMPROVEMENT FROM 3 MONTHS AGO. 

WEATHER
THOSE ARE THE HEADLINES...METEOROLOGIST CINDI  CLAWSON IS IN FOR MIKE HOFFMAN THIS WEEK. CINDI-  SOME HAIL AND SEVERE WEATHER PUSHED ACROSS  THE U-S THIS WEEK. WHAT'S IN STORE NEXT WEEK?  WELL, TYNE I THINK WE'RE GOING TO SEE MROE ACTIVE WEATHER AS WE HEAD INTO THIS COMING WEEKEND. ELT'S START WITH THE DORUGHT MONITOR AND WE'VE SEEN STILL A LOT OF IMRPOVEMENT IN WESTERN PARTS OF COUTNRY BUT WE ARE WATCHING THE SOUTHEAST BECAUSE THAT'S WWHERE WE ARE SEEING DYRNESS EXPAND OVER THE LAST 4 WEEKS BOY NOTICE THE DIFFERENCE A MONTH AGO. AND AS WE CONITUE THROUGHT TIME WE'RE GOIGN TO BE SEEING GREAT IMPROVEMENT ACROSS AREA ESPEICALLY IN PLAINS STATES AND IN TEH WEST BUT WATCH AS THE DRYNESS COINTIES TO EXPAND ESPECIALLY AS YOU GET TOWARD GEORIGA AND INTO FLORIDA. ALRIGHT WHAT DO WE HAVE FOR THE WEEK AHEAD? SOME MORE ACTIVE WEATHER WE'VE GOT A FRONT ACROSS NORHTERN TIER OF STATES LOOK FOR SHWOERS LAONG THAT. WE SEE A FRONT IN CENTRAL NADN NORTHERN PLAISN THAT'S GOING TO PUSH OFF TO THE EAST AS YOU GET TO EARLY PART OF HTE WEEK. LOOKING AT SOME VERY WEARM TEMPS ACROSS THE SOUTH MAYBE SOME EWINDY CONDIIONS AS WELL ON WESNEDAY WE'RE GOING TO BE SEEING HTAT FRONT MOVE INTO THE GREAT LAKES, DOWN THROUGH MUCH OF CORN BELT AND INTO SOUTHERN PLAINS AND WE'LL CONTINUE TO SEE SOME WET WEATHER IN NORTHWESTERN UNITED STAES. HIGH PRESSURE KEEP MOST OF SOUTEHAST DRY AS WE GET INTO WENDESDAY. FRIDAY LOOK A LOT LIKE WEDNESAY BUT IT'S DIFFERENT PART OF FRONT AS WE SEEE ANOTHER LOW PRESSURE OVER TOWARD CHICAOLAND STRETCHING DOWN INTO PARTS OF PLAINS AND STILL WET WEATHER IN PARTS OF NORTHWEST, WE'LL BE HOT AND MOSTLY SUNNY AS YOU GET DOWN INTO THE THERE IN THE SOUTHERN UNITED STAETS. WE'LL HAVE ANOTHER LOOK AT WEATHER COMING UP IN NEXT HALF HOUR TYNE. THANKS CINDI.

TEASE
WELL, PRICE PRESSURE ON GRAINS THIS WEEK. WE'LL FINOUT WHY WITH DAN HUEBER AND KEVIN DULING AFTER TRHE BREAK. <U.S. FARM REPORT IS BROUGHT TO YOU BY  KUBOTA'S  M7 SERIES. LEARN MORE ABOUT THE LARGEST  TRACTOR IN KUBOTA HISTORY AT KUBOTA.COM>

ROUNDTABLE 1
WELCOME BACK HERE NOW WITH ME THIS WEEK TDAN HUEBERT AND KEVIN DULING TO TALK MARKETS LET 'S START OFF WITH THIS CORN MARKET. I MEAN REALLY WHAT 'S CAUSING THAT THIS PRESSURE IS IT SOLELY THE FINDS MEAN IS IT JUST LOOKING AT THAT THE MASSIVE SUPPLIES OF SOUTH AMERICA WHAT 'S PLAYING INTO THIS CORN MARKET RIGHT. CERTAINLY A COMBINATION OF ALL THE ABOVE BUT I THINK AS MUCH AS ANYTHING WE JUST DON'T HAVE A NEW STIMULUS IN THERE. THE MARKET IS, YES WE KNOW THE FUNDS ARE ON THE SHORT SIDE, BUT THEY DON'T HAVE A GREAT INCENTIVE TO ADD ADDITIONAL THERE. WE KNOW THE ACREAGE  TWO WERE RELEASED WERE WHERE WE'RE GUESSING THE ACREAGE IS GONNA BE LOWER THIS YEAR. SO THAT THAT ELIMINATES MAYBE SOME OF THE DOWNSIDE INCENTIVE, BUT TO REALLY GET A RALLY STIMULATING OR  SOMETHING TO STIMULATE A RALLY WE'RE GONNA HAVE TO GET A WEATHER MARKET. THAT'S JUST NOT IN THE CARDS THIS EARLY IN THE YEAR JUST YET.  YES IF YOU LOOK AT PREVIOUS YEAR 'S CAN CAN YOU COMPARE THIS YEAR IN THE CORN MARKET TO ANY OTHER YEAR?? IF WE JUDGE ON THE CURRENT WEATHER MAPS, IT 'S LOOKING LIKE TWO THOUSAND NINE, TWO THOUSAND THIRTEEN. BOTH PLAY AND WE HAD SOME DELAYS THERE. IN BOTH OF THOSE YEARS WE THE LOWS WERE MADE LAST WEEK OF APRIL. IN WITH THAT IN MIND, AND THEN THE ON THE MARKET RALLIED ABOUT A DOLLAR OFF EACH OF THOSE. IN THE FUND 'S SHORT TO DO THAT. BUT IS AS DAN SAYS THE WEATHER  MAPS HAVE TO CONFIRM WE HAVE TO KEEP THE THE SOILS COLD. WE HAVE HAVE MORE RAIN TO DO THAT OTHERWISE IT 'S GONNA ACT HEAVY.AND THIS RAIN IS 'S IN THE FORECAST AGAIN WHEN WE LOOK AT THESE COOLER TEMPERATURES KIND OF THAT WORKS VERY. IT 'S IN RIGHT NOW. BUT THAT HASN'T REALLY HIT THE MARKET YET. DO YOU THINK IT WILL IN THE IN THE COMING WEEK??? IT IS REALLY ALWAYS A CHALLENGE TO GET MARKETS TO REALLY GET ACTIVE ON TOO MUCH MOISTURE IN THE SPRINGTIME. PARTIALLY ONE BECAUSE YOU KNOW RAIN MAKES GRAIN IS PART OF THE MENTALITY. BUT THE OTHER IS WE KNOW IT ON THE SEVEN TO TEN DAY PERIOD WE COULD HAVE THE CROP PLANTED.  IT 'S REALLY GOING TO BE PUSHING HIS BACK WHILE AND MAYBE FOR THINKING OH GREAT GET MUCH EXCITEMENT AND TOO LATE IN THE SEASON TO GET THE CORN  IN THE GROUND. YOU A GRAMMY COULD WE GET A LITTLE BIT OF A BUMP ANYWHERE IF WE COULD GO TO HAVE LIKE ANOTHER WEEK OF DELAY PLANS??? AS WE LOOK AT THE FUND POSITION .WHEN YOU COULD COUNT THE AGGREGATE FUND POSITION OF CORN, BEANS, WHEAT, IT 'S BY FAR RECORD SHORT SO IT 'S NOT GONNA TAKE THAT BIG OF A STIMULUS TO GET IN THE NORTH A SIZABLE BUMP IN THE THING I JUST YOU KNOW WE CAN'T SEE IT TODAY. AND IN ON HIM TELLING PRODUCERS NOW 'S NOT A SELL WINDOW. JUST WAIT TILL WE HAVE SOMETHING CONCRETE HERE. IT 'S NOT YOUR TIME IF YOU HAVE NORMAL WEATHER, CORN'S GOING TO BACK UP. WE'RE GONNA DROP STOCKS, WHEAT'S GONNA DROP STOCKS BEANS ARE GONNA ADD.  TO ME, THEY'RE THE MOST BEARISH GRAIN RIGHT NOW. BUT THE LEAST THE DEMAND IS GONNA REMAIN. IN A LARGE SOUTH AMERICAN CROP. I MEAN IT CONTINUES TO JUST GO A LOT BUT YOU THINK THAT 'S ALREADY PRICED PRETTY MUCH PRICED IN??? TO A LARGE EXTENT. THE BRAZILIAN CROP OF COURSE IS THE YEAR IS THE BIGGER OF THE TWO, JUST BY PRODUCTION STANDARDS. BUT ALSO BECAUSE ARGENTINA IS STILL HAVING A LITTLE BIT OF A WEATHER ISSUE AT THIS POINT.  SOME AND MOST HAVE STARTED BUT HAVE STARTED TO BACK OFF THEIR CROPS JUST A TOUCH. MAYBE A MILLION METRIC TONS. IT IS NOT A NOT A LARGE SCALE BACK AWAY. BUT BUT IT 'S A LITTLE LESS SUPPLY THAN MAYBE WAS ONCE ANTICIPATED. BUT I AGREE 100%. WE ARE IN A TRUE SUPPLY SIDE MARKET WHICH MEANS IT IS WEATHER RELATED ISSUES.DEMAND IS TURN OUT IS PHENOMENAL. I MEAN WE WE REALLY HAVE RECORD LEVELS OF DEMAND LEVELS BOTH CORN AND BEANS.  BUT THE SAME TOKEN THE MARKET KNOWS THAT IS NOT LIKE IT INCREASING AT SOME EXPONENTIAL RATE IS REALLY GOING TO SHOCK US OUT HERE. SO IT HAS TO BE A WEATHER ISSUE AND RIGHT NOW THIS IS NOT THE CARDS JUST YET. CERTAINLY THE CRITICAL MONTHS AHEAD OF US HERE SO WHAT ABOUT THIS WEHAT MARKET IN A MEETING HAS NOT REALLY BEEN FUN TO WATCH AGAIN TO SAY PRICES ARE SO LOW THAT WE CANNOT MOVE ANY LOWER AND WHEAT MARKET CONTINUES TO PROVE US WRONG SO WE'LL TALK ABOUT THE FUNDAMENTALS BUT ALSO THE TECHNICALS OF THE WHEAT MARKET REALLY WHAT ARE WE LOOKING AT RIGHT NOW WE'LL DO THAT WHEN WE COME BACK <THIS IS MACHINERY PETE INVITING YOU TO CHECK OUT  MY NEW WEBSITE, MACHINERY PETE .COM, OFFERING  FAREMRS TENS OF THOUSANDS OF USED EQUIPMENT  LISTINGS TO SEARCH. LET MACHINERY PETE HELP YOU  FIND AND VALUE YOUR NEXT PIECE OF EQUIPMENT>

ROUNDTABLE 2
WELCOME BACK WELL LET 'S TAKE A LOOK AT THIS WHEAT MARKET WE SEE SOME COOLER TEMPERATURES IN THE FORECAST WHEN WE LOOK OVER THE NEXT SEVEN TO TEN DAYS OUT DO YOU THINK THAT POSSIBLY WE COULD SEE SOME DAMAGE AND IF SO WILL THE MARKET EVEN CARE???? IF THE MARKET IS DOING ITS BEST TO WARN US THAT THEY THAT DOES NOT WANT ANY MORE RECORD PRODUCTION LIKE LAST YEAR. WE HAD SUCH HIGH YIELDS IN SO MANY PLACES. EVERYWHERE EXCEPT FOR THE EU ESSENTIALLY HAD HIGH YIELDS. IT'S DOING ITS BEST TO SAY WE'LL GO LOWER IF YOU DO THAT AGAIN. THE GOOD NEWS IS I DON'T KNOW IF YOU BASE IT ON CROP RATINGS TODAY I DON'T THINK WE'RE GONNA SEE THAT. AND ONCE WE GET THE NEW NUMBERS IN MAY WHICH WILL BE THE FIRST NEW CROP LOOK FOR TWO THOUSAND SEVENTEEN, EIGHTEEN LOOK AT THE SUPPLY AND DEMAND, YOU'RE GONNA SEE THE MAJOR EXPORTERS DROP THIRTY, THIRTY FIVE MILLION METRIC TONS THATS A LOT. AND SO IF WE FACTOR CHINA OUT OF THE EQUATION AND WHO 'S GOT ONLY FIFTY ONE PERCENT OF THE STOCKS, YOU GONNA ACTUALLY HAVE A TIGHTEST STOCKS USAGE EVER. SO IT 'S TO ME IT 'S IT 'S VERY INTERESTING SITUATION. DEMAND'S GOING TO BE RECORD BREAKING AGAIN NEXT YEAR.  INDIA 'S GONNA IMPORT, CHINA CONTINUES TO IMPORT.  IT DOESN'T QUITE WARRANT THE NINE HUNDRED MILLION BUSHEL NET SHORT THE SPECS AT THE MOMENT. SO BASICALLY RIGHT NOW THE PRESSURE IN THE WHEAT MARKET IS IT JUST FUNDS??? ABSOLUTELY. YOU AND I THINK YOU WERE YOU BROUGHT A GREAT POINT. YOU REALLY APPLIES TO CORN AS WELL AND WE LOOK OVER IN CHINA. A LOOK AT THE INVENTORY THEY HAVE AND THEY REALLY BALLOON THE WORLD INVENTORY IT KINDA SKEWS WHAT 'S OUT THERE. ONE OF THOSE PRODUCTS ARE NOT GOING TO LEAVE CHINA. THEY'RE NOT FIND A WAY TO USE THEM AT HOME. BE IT CORN BE IT WHEAT IF YOU EXCLUDE THOSE FROM THE WORLD NUMBERS WE REALLY HAVE A VERY TIGHT STOCKS TO USAGE RATIO OR AVERAGE AT BEST SO HERE AGAIN  I THINK THE MARKET KIND OF PUT THE BLINDERS ON. AND WHAT WE HAVE ALL THE SUPPLIES YOU KNOW THERE 'S NO ISSUE OUT THERE AND AGAIN IT WOULD NOT TAKE MUCH OF A DISRUPTION THAT AND ALL OF A SUDDEN THAT PICTURE CHANGED PRETTY DRAMATICALLY AT THE SAME TIME WE LOOK AT THIS LOW WHAT A WIN BUT WHICH ARE WHEAT AND SPRING WHEAT PLANTINGS AND WE GOT HIM SO IT SEEMS LIKE IT 'S SETTING THIS UP FOR IT EVEN MORE TIGHTER STOCKS SCENARIO AS WE GO ENTER INTO THE NEXT YEAR??? YEAH I AGREE WITH IT WE DON'T HAVE ROOM FOR BIG HICCUPS ON THE WORLD SCALE. IF WE DO HAVE A BIG HICCUP LIKE THE DRYNESS IN EUROPE SO TO SPEAK RUSSIA 'S TRENDING DRY, WE COULD REALLY DROP THE CARRY OUT. SO I GUESS I'M TELLING PRODUCERS IF YOU HAVE TO SELL SELL BUT MAN WE GOT A BUY BACK OPTION VOLATILITY IS JUST LOW EVEN BY AT THE MONEY CALLS CHEAP. AND YOU KNOW WAS THIS WORTH RE OWNERSHIP. YES. CERTAINLY WE'VE ENCOURAGED PEOPLE TO MAINTAIN OWNERSHIP. STILL UTILIZE BASIS. YOU KNOW TAKE A TAKE WHAT THE MARKET GIVES YOU A LOCAL AREA TRY TO TAKE ADVANTAGE OF THAT. BUT WHEN IT COMES TO A POTENTIAL UPSIDE, MAINTIAN OWNERSHIP IN SOME FASHION OR ANOTHER OFTEN TIMES THE BEST WAY TO DO THAT IS THROUGH AN OPTION CONTRACT PARTICULARLY WITH THE LOW VOLATILITY THAT WE SEE HERE. AND NOW ARE YOU TELLING PRODUCERS IN THE SAME ON CORN???? IF THE BASEST LEVEL ARE CORRECT. OUR APPROACH TO MARKETING OFTENTIMES IS YOU KNOW WE GET SO WRAPPED UP IN PRICE THAT WE TEND TO THINK PRICE FIRST, BASIS AND SPREAD LATER. WE TRY TO TAKE THE OTHER TRACK PLAY YOUR BASIS. YOU KNOW YOU KNOW YOU'RE A LOCAL BASIS LEVELS. THOSE ARE AREAS THAT REALLY CAN TAKE ADVANTAGE OF. A YEAR IN YEAR OUT, THERE SO MANY TOOLS THAT ARE AVAILABLE TO YOU TODAY THE PRICE CAN BE MANIPULATED IF FOR LACK OF A BETTER WORD, WITH OTHER INSTRUMENTS BUT  MANAGE YOUR BASES MANAGERS, MANAGE YOUR SPACE AND THEN WORK ON THE PRICE WITH YOU EITHER FROM PHYSICAL INVENTORY OR THROUGH THE USE OF FUTURES AND OPTIONS. SO IT OUT OF THE PRESSURE IN THE SWEEP IT WITH HAHN 'S ALSO SEEN SOME PRESSURE THIS WEEK AT SIX A LOW AGAIN IS THAT JUST THE ONES DICTATING PRICES??? WELL HE OFTEN DICTATING PRICES BUT ALSO MEAN WE WE CERTAINLY HAVE AN AMPLE SUPPLY OF HOGS AROUND YOU KNOW THAT THE NUMBERS WE KNOW OUR BACK ON THE INCREASE IN PROBABLY CONTINUE TO FIND, NOT THAT THIS IS NECESSARY GOING TO STOP THEM BUT DEMAND HAS NOT REALLY A COME BACK TO LIFE NECESSARILY THE WAY IT SHOULD. A LOT OF EMPHASIS OVER IN THE CATTLE RIGHT NOW WITH THE IDEA THAT WE'RE GOING TO START MOVING MORE CATTLE TO CHINA SO I THINK THAT YOU STAY AWAY AND PROBABLY LITTLE SPREAD ACTIVITY ON TOP OF IT WERE A YEAR A FAVOR IN THE CATTLE OVER THE HOGS AT THIS POINT I'M AWFULLY CLOSE TO THE TAIL END OF THAT? RIGHT NOW CAL IS ONE OF THOSE BRIGHT SPOTS THIS WEEK WHEN WE LOOK AT THE ONE POSITION IN THE CATTLE MARKET IN WHAT ARE YOU SEEING???ONE OF THE FEW AG AND MARKETS DO AND THEY MAY CONTINUE THAT FOR A WHILE SO WE MAY GET A GOOD OPPORTUNITY AT SOME POINT. THE NUMBERS IS THE RESULT IN PROBABLY EVEN SPLIT BETWEEN THE BULLS AND BEARS IN THE FORM THE FUNDAMENTAL SIDE YOU HAVE YOU KNOW GOES BACK TO THAT LARGE PLACE A NUMBER WE HAD A FEW MONTHS AGO.BUT FOR SOME REASON THEIR PUSHING CATTLE FORWARD.  IT 'S  PRETTY DYNAMIC. AND REAL QUICK DO YOU THINK THE CATTLE MARKETS OVER DONE??? NOT NECESSARILY KNOW I MEAN I THINK WE HAVE A COUPLE WEEKS AGO REALLY LOOK LIKE WE WERE A HAD REACHED A A A TIPPING POINT THE OTHER NEWS ABOUT CHINA CAN REALLY REINVIGORATED THE BULLS ONCE AGAIN. I DON'T THINK WE HAVE A TREMENDOUS MAN UPSIDE RIGHT NOW BUT IT EVER CLOSE BUT NOT QUITE THERE.  ARE I THINK YOU WILL GET THERE WAS THAT WHEN WE COME BACK ON U S FARM REPORT

MARKETS NOW
ALL RIGHT TIME NOW FOR CLOSING THOUGHTS DAN, LET 'S START WITH YOU WELL WE HAD DISCUSSED HIS TWO BIT EARLIER OF ME I REALLY THINK THIS IS NOT THE TIME FOR PRODUCERS TO PANIC YOU KNOW WHEN YOU LOOK AT RELATIVE VALUE WERE THE PRICES FOR CORN SOYBEANS WHEAT ANY OF THEM WERE DOWN TOWARDS WHAT HAS BEEN LOWS OVER THE LAST SEVERAL YEARS WHERE WE TEND TO FIND A VALUE IN THEIR SOME PEOPLE REFER TO THIS IS BEING IN THE WINTER SIDE OF THE MARK MARKET CYCLE WAS KIND OF THE THIS DRAWN OUT PERIOD WHERE IT ALMOST FEELS LIKE YOU'RE IN THE DESERT YOU CAN'T GET OUT OF IT BUT YOU WANT TO MOVE OUT A WINTER YOU'RE BACK INTO SPRING AND SPRING MEANS NEW GROWTH AND HIGHER PRICES ALL RIGHT THANK YOU DAN KEVIN, WHAT 'S AMAZING  IS THE KIND THE OBNOXIOUSNESS OF THE HEDGE FUND COMMUNITY HERE MANAGE MONEY THEY MANAGE IT WITH CRUDE OIL THEY STUCK WITH THE LONG SIDE FOR ALL WINTER LONG WE NEVER GOT A BREAK TO BUY FINALLY THE MARKET DIPPED TO THE COMMERCIAL 'S ATTITUDE AND ENGRAINED RIGHT NOW IT 'S A SIMILAR SITUATION WE DON'T KNOW HOW LONG THEY'LL KEEP SELLING BUT ONCE THEY CHANGE YOUR MIND THEN THINGS GET BETTER QUICKLY ALL RIGHT THANK YOU BOTH WE APPRECIATE IT STAY WITH US JOHN PHIPPS TALKS ABOUT CHINA NEXT

JOHN’S WORLD
SHOULD CHINA REALLY BE CONSIDERED A CURRENTLY  MANIPULATOR? THAT'S THIS WEEK'S JOHN'S WORLD.  THIS WEEK THE TRUMP ADMINISTRATION SURPRISED MANY OBSERVERS  INCLUDING ME BY DECLINING TO DECLARE CHINA A CURRENCY  MANIPULATOR. THIS IS ONE OF THOSE POLICIES THAT WE ALL THINK WE  KINDA UNDERSTAND BUT PROBABLY DON'T, SO HERE'S AN AGSPLAINER. THE TERM CURRENCY MANIPULATOR IS AN OFFICIAL DESIGNATION FROM THE  TREASURY DEPARTMENT THAT A COUNTRY IS RIGGING THE MARKETS FOR ITS  CURRENCY. THE GUIDELINE IS SPENDING OVER 2% OF GDP - ECONOMIC  OUTPUT - BUYING OTHER CURRENCIES AND SELLING THEIR OWN. THIS  DRIVES DOWN THE VALUE OF THEIR CURRENCY AND MAKES EXPORTS FROM  THEIR COUNTRY CHEAPER, BUT IMPORTS MORE EXPENSIVE. MANIPULATING  CURRENCY CREATES WINNERS AND LOSERS AT HOME. PRESIDENT TRUMP HAD PROMISED TO DECLARE CHINA A CURRENCY  MANIPULATOR MULTIPLE TIMES DURING THE ELECTION CAMPAIGN, EVEN  THOUGH CHINA SINCE 2014 HAS BEEN SELLING ITS MASSIVE HOARD OF  DOLLARS TO INCREASE THE VALUE OF THE YUAN - NOT LOWER IT. YOU CAN  SEE THAT ON THIS GRAPH OF THEIR FOREIGN RESERVE HOLDINGS. REGARDLESS, ACCORDING TO THE CURRENCY ACT OF 2015, ONCE THE  TREASURY DEPARTMENT DECLARES A COUNTRY A MANIPULATOR DURING  ITS ANNUAL REVIEW, IT CAN PLACE 25% TARIFFS ON GOODS FROM THAT  COUNTRY AFTER A YEAR OF NEGOTIATIONS TO RESOLVE THE PROBLEM. BUT  THE PRESIDENT ALREADY POSSESSES THE POWER TO ENACT TARIFFS ON  HIS OWN, SO THE DESIGNATION IS LARGELY SYMBOLIC.  THAT SAID,  COUNTRIES CAN BE EXTREMELY SENSITIVE TO SYMBOLIC ACTS, ESPECIALLY  CHINA. OBVIOUSLY AVOIDING UNNEEDED TRADE FRICTION WITH CHINA IS GOOD FOR MANY SECTORS OF AG, ESPECIALLY PROTEINS AND SOYBEANS, SO  THIS DEVELOPMENT SEEMS TO BE A STEP IN THE RIGHT DIRECTION. ON  THE OTHER HAND, INDUSTRIES LIKE MANUFACTURING THAT WERE COUNTING  ON A TOUGHER TRADE POLICY FROM THE NEW ADMINISTRATION ARE LESS  PLEASED. THANKS, JOHN

TEASE
THOSE DEVESTATING WILDFIRES THAT RAGED ACROSS  THE PLAINS LEFT A LASTING IMPACT ON FAMILIES AND  RANCHES IN ITS PATH. BUT STANDING OUTSIDE THOSE  FIRES, IF YOU'RE LOOKING FOR A WAY TO HELP, YOU'LL  WANT TO STAY TUNED... WE'LL TELL YOU ABOUT A  MILLION DOLLAR WILDIFRE RELEIF CHALLENGE COMING  UP LATER ON TEH SHOW. 

HEADLINES
WELCOME BACK TO U-S FARM REPORT. WEH AVE MUCH MORE AHEAD. IT'S A DAIRY DILEMMA IN WISCONSIN. AND WHILE HTE  PRESIDENT IS BLAMING CANADA, OUR TRADING  PARTNERS TO THE NORTH ARE PUSHING BACK.  WILDFIRE RELIEF IS STILL UNDERWAY IN THE PLAINS,  AND THERE'S A NEW CALL FOR HELP.  WE'RE ON THE ROAD WITH MACHINERY PETE WHERE  FOR DAIRY FARMERS IN WISCONSIN, IT'S ALL ABOUT  QUALITY FEED AND EQUIPMENT.  AND JOHN PHIPPS HAS WHAT HE CALLS BREAKING  NEWS IN CUSTOMER SUPPORT.  NOW FOR THE HEADLINES, LOAN VOLUME IS  SKYROCKETING THE COUNTRY, AS FARMERS AND  RANCHERS FACE ANOTHER MONTH OF DEPRESSED  PRICES. 

RURAL MAINSTREET INDEX
THE LATEST RURAL MAINSTREET INDEX OUT OF  CREIGHTON UNIVERSITY SHOWS THE INDEX FALLING  BELOW GROWTH NEUTRAL FOR THE 20TH STRAIGHT  MONTH. THE AUTHOR OF THE INDEX ERNIE GOSS SAYS WEAK  FARM COMMODITY PRICES CONTINUE TO SQUEEZE  RURAL ECONOMIES, WITH LIVESTOCK PRICES FALLING  NEARLY 6 PERCENT OVER THE PAST 12 MONTHS. GOSS SAYS IT'S LOAN VOLUME THAT'S SOARING AS  BANKS AREN'T REJECTING AS MANY OF THOSE  PRODUCERS APPLYING FOR A LOAN.  <"OPERATING LOANS, EVEN THERE THE INTEREST RATES ARE RISING A BIT.  IT'S NOT MUCH BUT THE QUALIFICATIONS ARE GETTING TOUGHER AND SO  THERE ARE RISING RESTRICTIONS ON THE OPERATING LOANS."> ONE BANKER SURVEYED IN MINNESOTA TELLING THE R- M-I THEY ARE SEEING A LOT OF FARM AUCTION SALES IN  THE LAST 6 MONTHS-- EITHER FROM FARMERS RETIRING  OR THOSE GETTING OUT OF FARMING. 

PERDUE CONFIRMATION MONDAY
AND WE COULD HAVE A NEW AG SECRETARY ON  MONDAY. CONGRESS RECONVENES ON APRIL 24TH, AND  IS SCHEDULED TO VOTE ON NOMINEE FORMER GEORGIA  GOVERNOR SONNY PERDUE. THE VOTE IS SCHEDULED FOR 5:30 P.M. ON MONDAY. THE SENATE AG COMMITTEE CONFIMRED PERDUE ON  MARCH 30TH. 

WEATHER
METEOROLOGIST CINDI CLAWSON FILLING IN FOR MIKE  HOFFMAN THIS WEEK. CINDI, DO YOU THINK THERE BE  AT LEAST SOME WINDOWS WHERE FARMERS CAN PLANT  THE NEXT 30 DAYS.  WELL, TYNE WE'RE CERTINALY HOPING FOR THAT BUT I THINK WE'LL BE SEEING TIMES OF RAIN, YOU MIGHT BE ABLE TO GET OUT THERE A LITTLE BIT. BUT HOPEFULLY WE DON'T HAVE TOO SOGGY OF FIELDS. LET'S TAKE A LOOK AT THE JET STREAM WE'VE BEEN SEEING ZONAL FLOW KEEPING SYSTEM AFTER SYSMEM MOVING THROUGH CORN BELT AND THATS' GOING OT CINTINUE FOR FIRST PART OF HTE WEEK. BUT WATCH AS WE SEE BIG TROPH DEVELOPING THROUGH WESTERN UNITED STATES WE MIGHT ACTUALLY SEE A BIT OF A COUTOFR LOW AS WE GET INTO NEXT WEEKEND, VERY WARM TEMPS IN EASTERN UNITED STATES. WE'LL HAVE TO WATCH SEE HOW STORMY THINGS GET TOWARD NEXT WEEKEND. AS FAR AS LONG RANGE WE'RE NORMAL TEMPS FOR GOOD CHUNK OF COUNTRY ESPECIALLY INE AST AND ON INTO SOUTHWEST, FAIRLY NORMAL TEMPS IN NORHTWEAST, AND FAR AS THAT PRECIP GOES, NOT REALLY ANY STRONG SIGNALS BUT IT LOOKS LIKE ABOVE NORMAL PRECIP IN GREAT LAKES AND INTO UPPER MIDWEST, FAIRLY NORMAL BUT OF COURSE THIS IS A RAINIER TIME OF YEAR FOR A LOT OF AREAS, ESPCIALLY WHERE WE ARE TRYING TO GET SOME PLAINTING DONE. TYNE

CANADA MILK STANDARDS HURTING U.S. PRODUCERS
THANKS, CINDI.  PRESIDENT DONALD TRUMP VOWING TO HELP DAIRY  FARMERS LEFT WITHOUT A HOME FOR THEIR MILK.  "WE'RE ALSO GOING TO STAND UP FOR OUR DAIRY  FARMERS IN WISCONSIN...(APPLAUSE)."> THE PRESIDENT SPEAKING IN WISCONSIN THIS WEEK,  FIGHTING THE TRADE BATTLE WITH CANADA, PROMSING  U-S DAIRY FARMERS THAT THE ADMINISTRATION WILL  INTERVENE TO RESTORE EXPORTS OF AMERICAN MILK.  <BECAUSE IN VANADA SOME VERY UNFAIR THINGS HAVE  HAPPENED TO OUR DAIRY FARMERS AND OTEHRS AND  WE'RE GOING TO START RAUN, SCOTT, PAUL, ALL OF  YOU REPRESENTATIVIES. WHAT'S HAPPENED IS VERY  VERY UNFAIR, IT'S ANOTHER TYPICAL ONE SIDED DEAL  AGAINST THE UNITED STATES. AND IT'S NOT GOING TO  BE HAPPENING FOR LONG. > HIS COMMENTS STEMMING FROM THE DAIRY DILEMMA  IN WISCONSIN, WHERE GRASSLAND DAIRY DROPPED 75  FARMERS, SAYING IT'S BECAUSE CANADA CUT OFF HTE  MARKET FOR ULTRA FILTERED MILK.  TRADE GROUPS FOR U-S DAIRY FARMERS COMPLAINING  SINCE CANADA'S POLICY ROLLED OUT THAT IT VIOLATES  THE NORTH AMERICAN FREE TRADE AGREEMENT.  UT JUST THIS WEEK, VANDIAN PRIME MINISTER JSTIN   TRUDEAU TELLING BLOOMBERG IT'S NOT CANADA THAT'S THE CHALLENGE HERE" INSTEAD, HE'S BLAMING THE U-S, SAYING THERE'S A  LARGE DAIRY TRADE SURPLUS WITH CANADA.  THOSE 75 DAIRY FARMERS IN WISCONIN AND  MINNESOTA HAVE BEEN RIDING A ROLLERCOASTER OF  EMOTIONS SINCE EARLY APRIL. THAT'S WHEN GRASSLAND DAIRY GAVE THEM A 30 DAY NOTICE TO  FIND A NEW HOME FOR THEIR MILK. I VISITED THE  GARTMAN FAMILY DAIRY IN SHEBOYGAN, WISCONSIN.  AND WHILE THEY RECEIVED THE BEST NEWS THIS  WEEK... THAT A NEW PROCESSOR IS AGREEING TO TAKE  THEM ON AND BUY THEIR MILK, I TALKED TO THE FAMILY  BEFORE THEY GOT THAT NEWS AND EMOTIONS WERE  STILL RAW...  THOSE SAME EMOTIONS ARE PLAYING OUT ON DAIRIES  ACROSS THE STATE STILL IN DESPERATE SEARCH FOR A  NEW HOME.  <COME ON GIRLS.> FOR THE GARTMANS... LET'S GOMILKING THESE 100 HEAD OF COWS IS THEIR  LIVLIHOOD... <GOT IT? THERE YOU GO> AND IT'S ALWAYS A FAMILY AFFAIR... <ME AND MY BROTHER ARE ACTUALLY 7TH GENERATION HERE, AND OUR  KIDS OUR 8TH GENERATION> BUT THE FIRST WEEK OF APRIL, THEY FACED ONE OF  THEIR BIGGEST FEARS... <THIS WAS HTE LETTER WE RECEIVED FROM GRASSLAND NOTIFYING US THAT  WE HAD 30 DAYS TO FIND A NEW PROCESSOR FOR OUR MILK> THEIR FATE IN THE FORM OF A LETTER... NOT EVEN  MARKED AS URGENT.  <IT SAYS RESPECTUFLLY GRASSLAND DAIRY PRODUCTS, WAS THERE A  SIGNED BY THE PRESIDENT, NO, IT'S JUST A GENERIC LETTER, YEAH> <SO YOU DIDN'T GET A PHONE CALL? NO, IN FACT BEORE I READ THIS , I  FOUND OUT ON FACEBOOK> THEY FACED A SIMILAR OBSTACLE TWO YEARS AGO,  WITH A PROCESSOR IN SHEBOYGAN.  <AT THAT TIME EVEN, WE HAD MORE LEAD TIME. WE HAD ABOUT A 3  MONTH LEAD TIME NOTICE, AND EVEN AT THAT, THEY HELPLED US FIND A  HOME> THAT HOME WAS GRASSLAND DAIRY, A PROCESSOR  THEY HOPED TO HAVE FOR THE LONG-HAUL.  VICE PRESIDENT OF BUSINESS DEVELOPMENT FOR  GRASSLAND DAIRY TOLD FARM JOURNAL'S MILK THAT GRASSLAND RECIEVED A  TWO-DAY NOTICE THAT THEIR  CANADIAN MARKET WAS GONE... A DESITAINATION  WORTH A MILLION POUNDS OF MILK A DAY. THEY SAID, QUOTE, WE ARE WORKING WITH OUR PATRONS TO FIND  A HOME FOR THEIR MILK, BUT WE UNDERSTAND IT'S A CHALLENGE IN  THESE MARKETS., . GOING ON TO SAY , THE LAST THING WE  AS A COMPANY WANT IS TO LET FARMERS GO., BUT 75 DAIRY FARMERS RECEIVED THE SAME LETTER.  WHILE A HANDFUL ALREADY FOUND A HOME, THE  MAJORITY ARE LEFT WITH NO ANSWERS AS TO WHERE  THEIR MILK WILL GO. 75 FARMERS IN WISCONSIN, THERE'S 9200 DAIRY PRODUCERS, SO IT'S A  SMALL PERCENTAGE. TEH BIG PART IS IT'S A BIG ANXIETY FOR ALL  PRODUCERS.> MIKE NORTH WITH COMMODITY RISK MANAGEMENT  GROUP CALLING THE SITUATION UNPRECEDENTED.  <THIS IS A VERY DIFFERENT SITUATION BECASUE IT HAS MORE TO DO WITH  POLITICS AND LESS TO DO WITH MARKETS OR BAD FINANCIAL SITUATIONS  THAT ARE BROADER THAN AGRICULTURE ITSELF> NORTH SAYS THIS DATES BACK TO GAT-- THE GENERAL  AGREEMENT ON TRADE IN SERVICES FROM THE 90S.  THAT'S WHEN CANADA DECIDED TO TAKE A PROTECTIVE  STANCE ON ITS DAIRY INDUSTRY, CREATING A QUOTA  SYSTEM. BUT SAYS CANADA ISN'T NECESSARILY TO  BLAME.  <. SOT HEY REALLY DIDN'T CVHANGE THEIR POSITION, THEY JUST CLEANED  UP SOME OF THE LOOSE ENDS THAT EXISTED SINCE THAT POSITION WAS  FIRST TAKEN. AND SO ULTIMATLEY I WOULDN'T BLAME THEM SO TO SPEAK,  BUT AT THE SAME TIME, THEIR ACTION IS WHAT QUICKLY CAUSED THIS  SCENARIO> WHILE SOME DAIRY GROUPS HOPE RENEGOTIATING  NAFTA WILL HELP THE BLEEDING, THAT DOESN'T SOLVE  THE ISSUE TODAY. NORTH SAYS THIS COULDN'T COME AT WORSE TIME, AS  THE INDUSTRY FACES OVER SUPPLY WHILE FIGHTING  THROUGH SPRING FLUSH WHERE THE COWS PRODUCE  MORE.   < I BELIEVE THAT IF THIS WHOLE AFFAIR WOULDN'T HAVE TAKEN PLACE IN  APRIL BUT RATHER IN JULY, NONE OF THIS CONVERSATIONW OULD HAVE  BEEN HAD> DAIRY FARMERS ARE SEEING PRICE PRESSURE ACROSS  THE BOARD, AS THE LAST MONTH AND HALF, PRICES  CONTINUED TO ERODE. <WE'VE GOT BETTER DAYS AHEAD, BUT UNFORTUNATELY WE'RE STUCK IN  THIS DOWNTURN RIGHT NOW THAT HASN'T SHOWN A CLEAR SIGN THAT IT'S  BOTTOMED> IF THE GARTMANS HADN'T FOUND A HOME FOR THEIR  MILK, THEY WOULD BE FORCED TO SELL THEIR COWS, BUT BY SECURING A NEW BUYER,IT'S RENEWING HOPE  FOR THE FUTURE... AND INSTEAD OF THESE SIGNS AND  STALLS BECOMING REMINATNS OF THEIR PAST, IT WILL  REMAIN A PROMINENT PART OF THEIR FUTURE...  OPENING A NEW DOOR FOR THE EIGHTH GENERATION.  NOW DURING MY VISIT, SOME IN WISCONSIN SAY THIS IS  JSUT ANOTHER EFFORT IN THE INDUSTRY TO WEED OUT  THE SMALLER PRODUCERS. BUT MY SOURCES SAY  THAT'S SIMPLY NOT TRUE... THAT GRASSLAND'S  DECISION WAS BASED ON GEOGRAPHY, NOT SIZE.

TEASE
WHEN WE COME BACK, JOHN PHIPPS.  I'VE GOT BREAKING NEWS

CUSTOMER SUPPORT
JOHN APPARENTLY HAS SOME BREAKING NEWS THIS  WEEK.... OU CAN CUT THE EXCITEMENT WITH A KNIFE HERE AT CUSTOMER SUPPORT  TODAY. THAT'S BECAUSE WE ARE INTRODUCING THE ALL NEW 2017  MODEL US FARM REPORT COFFEE MUG. TA-DA.  THIS CRIMSON BEAUTY IS THE RESULT OF HOURS OF CAREFUL  SELECTION WITH THOUGHTFUL ATTENTION TO DETAIL AND FASHION. AND  DEFINITELY NOT AFFECTED BY WHAT WAS ON SALE AT THE TIME I ORDERED. WHILE IT IS BRILLIANT RED ON THE OUTSIDE, WITH THE HANDSOME US  FARM REPORT LOGO, THE MUG IS PURE WHITE INSIDE. THIS FEATURE WILL  HELP REGULAR USERS GAUGE HOW LONG IT HAS BEEN SINCE IT WAS  CLEANED, OR POSSIBLY WASHED. AND IN A BREAKTHROUGH IN BEVERAGE CONTAINING TECHNOLOGY THE HANDLE ON THE 2017 MUG IS RECTANGULAR WHICH IS VERY COOL AND  ALSO LOWERED THE PRICE ABOUT 50 CENTS. WITH THE NEW MUG, EVERYBODY IS ELIGIBLE, EVEN THOSE WHO HAVE  PREVIOUSLY WON MUGS OR SUBMITTED QUESTIONS AND BEEN PROMISED A MUG THAT NEVER ARRIVED. SO SEND IN YOUR QUESTION, COMMENT OR CRITICISM TO  MAILBAG@USFARMREPORT.COM, AND BE THE FIRST ONE IN YOUR  NEIGHBORHOOD WITH THIS SCARLET TROPHY. JOHN, I THINK YOUR DEFINITION OF BREAKING NEWS  AND MY DEFINITION OF BREAKING NEWS MAY BE A  LITTLE DIFFERENT. BUT I DO LIKE THOSE MUGS! WELL, WHAT'S BEEN THE BIGGEST SURPRISE FOR  MACHINERY PETE WHEN IT COMES TO EUQIPMENT  TRENDS THIS YEAR? WE'LL HAVE THE ANSWER NEXT. 

ON THE ROAD WITH MACHINERY PETE
<ON THE ROAD WITH MACINERY PETE IS BROUGHT TO  YOU BY JOHN DEERE. NOTHING RUNS LIKE A DEERE WHILE YOU  MAY JUST THINK OF CHEESE WHEN YOU  THINK OF WISCONSIN AGRICULTURE, IT'S VERY  DIVERSE. FROM POTATOES TO CRANBERRIES, SOME OF  THE SPECIALTY CROP FARMERS ARE EARLY ADOPTERS  OF TECHNOLOGY. BUT AT REISTER AND SCHNELL, DAIRY  FARMERS AND CUSTOM OPERATORS ARE A KEY PART  OF THEIR BUSINESS. THIS WEEK, WE'RE OFF TO  CHILTON, WISCONSIN, WHERE THE HEALTH OF THESE  FARMS ALL STARTS WITH GOOD FEED.  <SO EVEN THOUGH THE PRICES WERE DOWN, THE GUYS WERE ABLE TO  PUT UP MORE CROPS THAN NORMAL AND THAT'S KIND OF HELPING OT  OFFSET THINGS> 2016 WAS PRODUCED A BOUNTIFUL HARVEST, SETTING  THESE DAIRIES UP FOR A GOOD YEAR OF FEED.  <A COW REALLY IS A SIMPLSITIC ANIMAL THAT WANTS THE SAME THING  DAY IN AND DAY OUT.A ND IT REALLY STARTS WITH TEH FEED> THAT FEED STARTS WITH PLANTING. BUT AFTER THAT,  HARVEST IS KEY.  <IF A PRODUCER HAS A FORAGE HARVESTER GO DOWN, IT CAN COST HIM  ANYWHERE FROM 3 TO 4,000 DOLLARS AN HOUR FROM CUSTOM HARVESTERS TO DAIRY PRODUCERS  PUTTING UP FEED ON THEIR OWN, IT'S ALL ABOUT  MAKING SURE THE FEED IS PUT UP AT THE PROPER  MOISTURE, IN TURN, BRINGING THE COWS BETTER  QUALITY FEED.  <HAVING A RELIABLE MAHCINE IS ONE OF HTE MAIN THINGS. > <SOMETIMES WE RUN THROUGH THE NIGHT, AND NEXT THINK YOU KNOW,  YOU'VE GOT 1,000 ACRES PUT AWAY IN 24 HOURS. IT'S PRETTY AMAZING.  I WOULD HAVE NEVER DREAMED THAT 20 YEARS AGO> BUT IT'S MORE THAN JUST THE SIZE OF THESE CHOPPERS THAT'S HELPIGN TO PRODUCE BETTER  FEED...  <THE BIGGEST CHANGE IS IN KERNEL PROCESSING. BEING ABLE TO PRETTY  MUCH ANIALITE THE KERNEL. KERNEL PROCESSING SCORES. THAT'S PRETY  MUCH OUR REPORT CARD ON HOW WE'RE DOING> IT'S STRIVING FOR THE BEST QUALITY FEED POSSIBLE  REALLY DRIVING EQUIPMENT TREND SIN THIS AREA.  <THIS YEAR HAS BEEN GOOD WITH THE CUSTOM OPERTORS, A LOT OF  THEM ARE AT THE POITN WHERE THEY ARE UPGRADING EQUIPMENT<NEW CHOPPER SALES HAVE DEFINITELY BEEN PEAKING, WE'VE GOT A  LOT OF QUOTES GOING OUT RIGHRT NOW DOING A LOT OF EVALUATIONS ON  USED CHOPPERS COMING BACK IN> MACHINERY PETE SAYS THE USED CHOPPER MARKET IS  AN INTERSTING ONE, SINCE THE BUYER POOL ISN'T AS  BIG AS COMBINES OR TRACTORS.  <SO IG UESS WHAT IV'VE SEEN THE LAST TWO OR THREE MONTHS, I'VE  NOT NOTICED REALLY ANY WEAKING ON AUCTION PRICES, NOT GETTING  STRONGER, JUST KIND OF HOLDING> BUT EVEN THEN, HE SAYS IT'S QUALITY MACHINES  BRINGING THE BIGGETS BUCK.  <IT'S ALL ABOTU CONDITION RIGHT NOW, IF IT'S IN GOOD SHAPE, PRICES  ARE STRONG> IN WISCONSIN, IT'S MORE THAN JSUT LARGER MACHINES  MOVING OFF THESE LOTS.  <SEARCH TRAFFIC, WISCONSIN, I THINK WISCONSIN WAS IN THE TOP THREE  STATES IN TERMS OF NUMBER OF EYE BALLS LOOKING AT THAT 100 TO 200  HORSE USED TRACTOR RANGE> BUT THE BIGGEST SUPRISE FOR MACHINERY PETE THIS  YEAR IS SELF PROPELLED SPARYERS.  <STARTED TOS EE ALITTLE UPTICK END OF 2016, BUT BOY, FIRST 3 1/2  MONTHS OF 2017, WE'VE SEEN SOME REALLY STRONG PRICES ON  SPRAYERS.> FOR THESE WISCONSIN FARMERS, IT'S TECHNOLOGY  BRINGING THE NEXT WAVE OF INTEREST.  <THE MORE DATA WE CAN HAVE, THE BTTER WE WILL DO> <ANY TECHNOLOGY HAS TO HAVE A PAYBACK, AND THAT'S WHAT WE ARE LOOKING AT> FOR HIM, IT'S ROBOTIC MILKERS. WITH CONSTURCITON  UNDERWAY, THEY HOPE TO HAVE IT UP AND RUNNING  BY SEPTEMBER,.  <UTIMATELY IT'S GOT TO BE WHAT PENCILS FOR YOUR FARM.W HAT IS RIGHT  FOR YOU. EVERYBOYD HAS A LITTLE DIFFERENT SITUATION. WE REALLY  PUSHED THE PENCIL HARD AND WE THINK WE CAN MAKE IT WORK> OUTSIDE THE BARN, DATA AND TECHNOLOGY IS  HELPING PRODUCE BETTER QUALITY FEED.  <ALFALFA IS A VERY EXPENSE CROP TO PRODUCE AND MAINTAIN, SO THE  MORE DATA THESE GUYS CAN GET WITH THEIR ALFALFA FIELDS, HOEPFULLY  THEY EBTTER OFF THEY'RE GOIGN TO BE FOR PROFITABILITY ON THOSE FIELDS  AND PUTTING UP GOOD QUALITY FEED> <WE DO A LOT OF TECHNOLOGY WITH HARVEST LAB, WHICH IS BASICALLY A  YIELD MONITOR FOR THE CHOPPER ANDALL OF OUR CUSTOMERS USE THAT  DATA FOR THEIR FEED INVENTORIES,AS A CUSTOM OPERATOR, HE NOW PROVIDES THAT  DATA TO HIS CUSTOMERS.  <BEFORE IT WAS A PAPER COPY, WE'D GIVE THEM A BINDER, NOW IT'S  BECOMING MORE WIRELESS DATA TRANSFER. WHEN I PULL OUT OF THE FIELD, I CAN HIT A BUTTON ON MY CELL PHONE, AND SEND ALL THEDATA TO  THEM AND WHILE FARMERS ACROSS THE STATE FACE  DEPRESSED PRICES THIS YEAR, THIS DAIRY FARMER IS HOPEFUL PRICES WON'T CONTINUE TO FADE.  <AND THAT'S REALLY WHAT AGRICDULTURE'S ABOUT  SOMTIMES. YOU AHVE TO LIVE TO LIVE ANOTHER DAY BE SMART ABOUT  IT... BE STRATEGIC... AND THEN MOVE FORWARD> NEXT MONTH, WE'LL VISIT THE PANAHDLE OF TEXAS TO  SEE HOW EQUIPMENT TRENDS ARE PLAYING OUT  THERE.  AND IT'S AREAS OF TEXAS HIT HARD FROM TEH  WILDFIRES LAST MONTH. WE'LL SHOW YOU HOW YOU  CAN HELP LATER ON THE SHOW. 

TRACTOR TALES
TRACTOR TALES BROUGHT TO YOU BY THE MOST  TRUSTED NAME IN FARM EQUIPMENT, MACHINERY  PETE!. WELCOME BACK TO TRACTOR TALES.  WELL, WE  DECIDED TO GIVE GREG A WEEK OFF FROM HIS  TRACTOR DUTIES SINCE HE ALREADY SPENT A FEW  DAYS WITH US IN WISCONSIN. INSTEAD, WE'RE  SHARING  A FEW PICTURES FROM OUR TRACTOR TALES  FACEBOOK PAGE.   THE FIRST ONE COMES TO US FROM GREENSBURG,  INDIANA.  DYLAN MCCLURE SHARES THIS 730 DIESEL  HIGH CROP FROM HIS FARM.  IT WAS BUILT IN 1959, AND  ONLY ONE OF 78 TOTAL MADE.   THE 2ND TRACTOR PICTURE IS FROM JAY GRAHAM.  HIS  MOTHER, 87 AND SEEN HERE, IS DRIVING HER 1950 T-O  (OH) 20 FERGUSON THAT HER FATHER BOUGHT WHEN IT  WAS JUST 6 MONTHS OLD.  IT'S BEEN IN THE FAMILY  EVER SINCE.  AND FINALLY FROM HARRISONBURG, VIRGINIA WE HAVE A 1968 MINNEAPOLIS MOLINE G 1000 VISTA.  DANA  STOVER SHARED THIS PICTURE WITH US AND SAYS IT'S  TRUE….GIRLS LOVE TRACTORS TOO!    THANKS TO EVERYONE WHO SUBMITTED A PICTURE.   WE'LL TRY TO GET MORE ON THE SHOW NEXT WEEK.

COUNTRY CHURCH SALUTE
TODAY'S COUNTRY CHURCH SALUTE GOES TO THE  AVONDALE UNITED METHODIST CHURCH IN AVONDALE,  COLORADO. THE CHURCH GOT ITS START IN THE LATE  1800S. THEY TELL US ENTHUSIASM AND NEW MEMBERS  HAS KEP THTE CHURCH VIBRANT, ALWAYS WILLING TO  TAKE ON NEW PROJECTS. OUR THANKS TO GREG FOR SENDING THAT IN.  THE RECOVERY FROM THE WILDFIRES THAT SWEPT  ACROSS THE PLAINS IS ONGOING. BUT THERE'S A NEW  WAY TO HELP. WE HAVE SOME BIG NEWS TO SHARE  NEXT. 

WILDFIRE RELIEF FUND
WELCOME BACK.  WELL, THE WILDFIRES THAT DEVESTATED A MILLION  ACRES OF RANCHLAND IN THE CENTRAL PLAINS IN  MARCH MAY BE BEHIND US, BUT NOW IS WHEN THE  REAL WORK KICKS IN. THE FIRES WILL HAVE A LASTING  IMPACT FOR DECADES TO COME... AND WHEN WE  VISITED THE AREA JUST DAYS AFTER THE FIRE HIT,  EMOTIONS WERE STILL RAW.  IT WAS WINDY BUT I GET TEXTS FROM MY OFFICE THAT SAID, OH THERE'S A  BAD FIRE SOUTHWEST OF THE ASHLAND, THE WIND TURNED OUT OF THE NORTH  AND  BLEW THIS FIRE THE NORTH FIRE SOUTH AND THERE WAS TWENTY FIVE  MILES OF HEAD FIRE THAT IT BLEW SOUTH  AND IT WAS MOVING VERY VERY  FAST   COMING FROM DODGE CITY MY SON SAID IT 'S REALLY GETTING EERY  DOWN HERE, IT'S ALMOST LIKE IT 'S NIGHTTIME  I WAS DISKING NORTH OF THERE, I WAS TRYING OT GET A FIRE GUARD, AND I  HAD LESS THAN THREE MINUTES THAT WIND WAS BLOWING PROBABLY  SIXTY OR MORE I WAS LUCKY I DROVE THE TRACTOR   THROUGH THE FENCE IN TO THE HAY BARN ACTUALLY HIT THE HAY BARN  COULDN'T SEE WHERE I WAS GOING I GOT IN MY PICKUP I WAS ABLE TO  GET OUT OF THERE AND JUST THAT QUICK EVERYTHING WAS ENGLUFED.   THIS IS THE TREE MELTED AND AS I DROVE OUT OF HERE WAS ALL ON FIRE  BUT YOU CAN KINDA SEE WITH THAT REBUILT ITSELF TEH FENCE, THIS AREA  HAD BEEN BLOCKED OFF NONE OF  THE REST OF MY FAMILY WHAT HE GOT OUT AFTER THE FIRE EVERYTHING IS PRETTY MUCH IT 'S GONE AND IT'S DEVASTATING, IT'S HARD TO WAKE UP AND LOOK AT  WHAT YOU AHVE, OR WHAT YOU DON'T HAVE  TO TELL SOMEBODY HE'S MORE THAN LIKELY GOING OT HAVE TO PUT 380  HEAD OF HIS CATTLE DOWN  BECAUSE THEIR HOOVES ARE BURNT BAD ENOUGH THAT THEY WONT' RECOVER WE DON'T KNOW HOW WE'LL GET THROUGH IT  BUT THE PEOPLE THAT SETTLED THIS GROUND IN THE EIGHTEEN HUNDREDS  THEY DID KNOW HOW THEY'RE GONNA WAVE IT AND IT 'S BEEN A  CHALLENGE SOME OF US WILL COEM AND GO BUT THOSE PEOPLE THAT  HAVE BRANCHING IN THEIR BLOOD THAT HAVE BEEN HERE FOR YEARS AND  YEARS THEIR FAMILIES WILL BE HERE TOMORROW AND THEIR RANCHES WILL  BE SUSTAINABLE   EVERYTHING WILL GO FORWARD EVERYBODY WILL PITCH  IN AND WE'LL GET  ALONG WITH EVERBODY IS WILLING TO DO WHAT THEY CAN DO AND THAT 'S ENOUGH  AND AND GOD WILL TAKE IT FROM THERE WE HAVE FAITH THAT GOD WILL  TAKE IT FROM HERE BUT THE REAL WORK OF REBUILDING AFTER A  DISASTER OF THIS MAGNITUDE IS GOING TO TAKE  ALONG TIME… AND A LOT OF MONEY. IMAGINE THIS: THE  FIRES DESTROYED MORE THAN 18-THOUSAND MILES OF  FENCING…. MOST OF IT UNINSURED…..COSTING UP TO  10-THOUSAND DOLLARS A MILE TO REPLACE.   RECOGNIZING THE HUGE JOB OF REBUILDING….THE  HOWARD G. BUFFETT FOUNDATION CHALLENGED OUR  SISTER ORGANIZATIONS.. DROVERS AND THE FARM  JOURNAL FOUNDATION… TO JOIN FORCES TO HELP  RANCHERS BOUNCE BACK. THE BUFFETT FOUNDATION PLEDGING TO MATCH UP TO  ONE MILLION DOLLARS TO THE EFFORT.   YOU CAN LEARN MUCH MORE ABOUT THIS UNIQUE  OPPORTUNITY BY LOGGING ON TO OUR NEW WEBISTE  AT WILDFIRE RELIEF FUND DOT ORG.

CLOSE
FROM ALL OF US AT U.S. FARM REPORT, I'M TYNE  MORGAN. THANK YOU FOR WATCHING U-S FARM  REPORT.  BE SURE TO JOIN US RIGHT HERE AGAIN NEXT  WEEK, AS WE WORK TO BUILD ON OUR TRADITION. HAVE  A GREAT WEEKEND, EVERYONE.  

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