The Associated Press reported this week that, “Virginia-based Smithfield Foods announced Sunday that it is closing its pork processing plant in Sioux Falls until further notice after hundreds of employees tested positive for the coronavirus — a step the head of the company warned could hurt the nation’s meat supply. “The announcement came a day after South […]
As the focus turns to the planting season and markets adjust to the new realities associated with the pandemic, export markets continue to reveal consumption information relevant to price formation during 2020. Exports will play a significant role in determining prices in both corn and soybean markets moving forward. A slower pace of soybean exports […]
In an earlier post, we outlined four key questions about COVID-19 and U.S. agriculture. A significant uncertainty noted was the U.S. economy, especially when thinking about where conditions might be in 12 to 18 months. In response to questions we’ve received since that post, this week we’ve outlined five key macro-economic factors to monitor in 2020. […]
On Thursday, the USDA’s Foreign Agricultural Service (FAS) released three reports that provided updated information on agricultural trade, production and recent impacts of the COVID-19 outbreak. A focus on wheat and rice, protein markets, and soybeans are included in today’s update. Wheat and Rice In its Grain: World Markets and Trade report, FAS stated that, “In the wake of COVID-19, concerns have […]
The Ag Economy Barometer plummeted in March, dipping 47 points (28%) from a month earlier to a reading of 121. The point drop was the largest one-month fall in the life of the index, which dates to October 2015. Declines in agricultural commodity prices and concerns about the coronavirus crisis impact on the U.S. economy and agricultural […]
The Prospective Plantings report, released on March 31, indicated producer intentions to plant almost 97 million acres of corn in 2020. Under current planting intentions and consumption trends, a massive corn supply appears feasible during the 2020-21 marketing year. Producer intentions to plant principal crop acreage show a 16.5 million acre increase from 2019. The USDA estimates […]
U.S. producers are positioned to plant the second-largest corn crop in modern history, but you wouldn’t notice by glancing at fertilizer prices. In the week’s post, we review 2020 fertilizer prices and the trend of lower prices. Price Lower in 2020 As producers updated their 2020 crop budget, low fertilizer prices were a welcomed improvement. As […]
The April edition of the Market Monitor, a publication from the Agricultural Market Information System (AMIS), stated that, “Despite much uncertainty caused by the rapid spread of COVID-19, global food markets remain well balanced: cereal stocks are expected to reach their third highest level on record this season and export availabilities for all AMIS crops are more than adequate to meet the anticipated […]
Wall Street Journal writer Kirk Maltais reported this week that, “Consumers’ rush to buy groceries is fueling a rally in orange-juice prices, making the usually sedate asset the best-performing commodity in the first quarter of 2020. “The price of frozen orange-juice-concentrate futures trading on the Intercontinental Exchange has surged 24% to more than $1.20 a pound since March 19—a run resulting from […]
Wall Street Journal writers Kirk Maltais and Joe Wallace reported this week that, “Consumers are loading up on pasta, rice and bread. Farm supply lines are disrupted. Countries are restricting agricultural exports. The result: Prices of wheat and rice, two of the world’s staple grains, are rising sharply. Difficulties moving grain within countries and across borders, coupled with […]