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Good Morning farm country. Davis Michaelsen here with your morning update for Wednesday, May 6. From Pro Farmer’s First Thing Today, these are some of the stories we are watching this morning:
Corn futures are trading midrange and down 1 to 2 cents after facing pressure through the overnight session. Soybean futures are 3 to 14 cents lower after a choppy overnight session. Old-crop contracts are leading the decline. Winter wheat futures saw two-sided trade overnight, but futures are currently trading low-range and down 5 to 9 cents. Spring wheat futures are mixed. The U.S. dollar index is slightly higher. Crude oil futures have taken back yesterday’s gains.
The Buenos Aires Grains Exchange reports 32.9% of Argentina’s soybean crop has been harvested, which is a 14.4-point jump from last week, but still lags year-ago by 35.3 points. Wet roads and fields prevented farmers from making even bigger strides.
Dry weather since last fall has stunted development of Brazil’s sugar cane crop. Consequently, the commodity trader and supply chain services company Czarnikow expects the country’s Center-South cane crush to come in 7.7% below the year prior and the lowest crush since 2012.
Russia plans to reduce its export tax on soybeans to 20% with a minimum level of $100 per metric ton from July 1, 2021 through September 2022, the economy ministry announced today.
Official gauges across China’s economy fell short of expectations in April. This suggests the country’s strong pandemic bounceback is starting to lose some momentum.
New York City businesses will fully reopen starting July 1, marking an end to many Covid-19 lockdown measures that have restricted their operations for more than a year, Mayor Bill de Blasio said Thursday. Meanwhile, the Centers for Disease Control and Prevention said cruise operators could restart sailings out of the U.S. by mid-July.
China’s rapid development of a digital version of the yuan will not push the Federal Reserve to rush its own digital currency project, Federal Reserve Chair Jerome Powell said earlier this week, adding that China’s approach would not work in the United States.
Shares of airlines, railroads and trucking companies are rolling to their longest streak of weekly gains in more than a century, fueled by investors’ optimism that a resurgence in economic growth will boost profits at transportation companies.
Live cattle ended yesterday mixed, while softer corn prices helped feeders to close moderately higher. Some additional cash cattle trade occurred Thursday in the $118 to $119 vicinity in Kansas and Iowa, which was down from last week but in line with cash action earlier in the week.
May lean hogs gapped lower Thursday after Wednesday’s surge to the upside. The trend of the market still favors market bulls, but some profit-taking to take advantage of recent gains is not surprising. Recent action for the product market has signaled restaurants’ efforts to stockpile meat may be coming to an end.
