If you’ve had to go fill your fuel tank recently you’ve likely noticed a significant cost run-up. Patrick De Haan, head of petroleum analysis at GasBuddy, says on average the price of gas is higher than it has ever been, at an average of $1.45/L across the country. There are numerous reasons for this, but… Read More
U.S. soybean yields and ending stocks will be larger than the trade was expecting, according to the U.S. Department of Agriculture’s October supply/demand report. Based on the reaction in the futures market, the USDA’s October numbers, released Tuesday, were bearish for soybeans, somewhat bearish for corn, and bullish for wheat. The average American soybean yield… Read More
How many calves are left for the fall run? The answer could be more than usual; however, with the dry conditions in 2021, it’s also possible the very early start to the run means there are fewer calves left to come to town. The answer to where the fall run volume — and prices —… Read More
It wouldn’t be 2021 if a product shortage wasn’t yet again making headlines. This time, it’s fertilizer — phosphorus, to be exact, as China plans to essentially eliminate phosphate exports through to June 2022. Josh Linville, director of fertilizer with StoneX, recently joined RealAg Radio host Shaun Haney to discuss the latest developments, and why… Read More
The United States Department of Agriculture (USDA) released its September 1 Cattle on Feed report Friday afternoon. According to the report, feedlots with a capacity of 1,000 or more head with cattle and calves on feed for the slaughter market totalled 11.2 million head as of September 1, 2021. Year over year, the inventory is… Read More
What are the risks for the 2022 crop? Weather, of course, is always a factor, but what about the markets? What if we can compared the risks of the market declining, to the possibility of input prices further rising? Margins could be a heck of a lot tighter next year, unless commodity prices make moves… Read More
This week was a bit of a wild ride in the markets following the JBS fire that occured in Granville Island, Nebraska. The plant — that has the capacity to process 6,000 head of cattle a day — is now back up and running, but it has many asking “how does this impact the cattle… Read More
China has formally requested to join the trade deal that was originally intended to limit China’s influence in the global economy. Canada and 10 other Pacific Rim countries signed the Comprehensive and Progressive Agreement for Trans-Pacific Partnership — the CPTPP — in 2018. On Thursday, Chinese Commerce Minister Wang Wentao submitted China’s application to join… Read More
Canadian Pacific (CP) Railway’s plan to acquire Kansas City Southern (KCS) is one major step closer to becoming a done deal. The companies signed a merger agreement on Wednesday after rival Canadian National (CN) Railway waived its right to a five-day period to negotiate new terms with the coveted Kansas City-based railroad. The US$27.2 billion… Read More
Surprises were few and far between in the U.S. Department of Agriculture (USDA)’s September World Agricultural Supply and Demand Estimates (WASDE) report on Friday. The major figures were largely in line with pre-report estimates. On the yield side of things, U.S. corn and soybeans came in just slightly above trade estimates. Corn was estimated at… Read More
As Anne Wasko, of the Gateway Livestock Exchange puts it, here in Canada “cattle slaughter has been outstanding.” Following some really good weeks, total Canadian harvests hit 72,400 this week, as Wasko explains in this week’s Beef Market Update. “Breaking that down into young cattle and cows, the steer and heifer kill is basically 63,000…. Read More
The Western Grain Elevator Association (WGEA) is responding to a request by Saskatchewan farm groups to intervene on producers’ behalf regarding contract fees and penalties incurred during the 2021 marketing year. The Agricultural Producers Association of Saskatchewan (APAS), SaskBarley, SaskCanola, SaskFlax, SaskOats, Saskatchewan Pulse Growers, and SaskWheat released a joint statement this week, calling on… Read More
When we think about how farmers market their crop, there are two significant events that have occurred in 2021 that may drive people to think a little different going forward. One of those is the market run-up last fall, when prices really began to escalate.The second factor is farmers in the western half of North… Read More
Many crops grown in Canada are traded on an active futures market: corn, soybeans, canola, and wheat being the most common. But plenty of other crops don’t trade on futures, instead relying on cash prices, actual deliveries, and contracts for price discovery and risk management. Jon Driedger of LeftField Commodity Research says that when market… Read More
Agriculture and Agri-Food Canada (AAFC) has updated its forecast for this year’s crop, reflecting the impact of drought in Western Canada in its August numbers. AAFC’s July report garnered more attention than normal, with a 19.9 million metric tonne (MT) canola production estimate coming in much higher than any other canola projections. In the outlook… Read More