Category: Markets

Brenda Lepp Comments on the Viterra – CWB Handling Agreement

The Viterra – CWB announcement today at Canada’s Farm Progress Show has definitely grabbed the attention of farmers. I was fortunate to run into Brenda Tjaden Lepp, Farmlink Marketing Solutions at the show.  Brenda attended the CWB press conference and had some strong feeling about the benefits of the announcement and the state of the… Read more »

Viterra and the CWB Sign a Grain Handling Agreement

The Canadian Wheat Board has announced that they have signed a grain handling agreement with Viterra staring August 1, 2012.  The agreement will be a compliment to the Cargill agreement that was reached previously.   The CWB – Viterra agreement will also provide the CWB with access at the port. Since the CWB does not… Read more »

Ag Commodities Show Uncertainty for the Summer of 2012

The global economy continues to be quite tentative. The situation with Greece and the implications for the eurozone as well as the slow recoveries in North American markets and elsewhere have investors walking on eggshells. Agriculture doesn’t seem to be exempt from that vulnerability either. Markets have been quite volatile, with commodity prices bouncing up… Read more »

Canfax Cattle on Feed Report Shows Low Feedyard Placements

Today’s Canfax COF report for May 1 exposes the current feedlot inventory situation. As of May 1, total numbers on feed were down 7% from last year, down 10% from 2010 and the smallest May 1 inventory other than 2008. Coincidentally, that was also a year that saw large exports of feeder cattle during the first 4 months… Read more »

StatsCan Confirms that Canola is the Golden Child in Stocks Report

Like a company reporting earnings to the market, StatsCan released their stocks report.  The clear indication from the report is that canola stocks are very low. As we look at the current 2012 seeding season (follow #plant12), this report does not provide increased planting incentive that wasn’t already there. The intended 20 million acres of… Read more »

Wheat School: Managing Your Wheat Marketing in an Open Market

August 1, 2012 officially changes the way the wheat producers and industry members do business out west. With that date spelling the end of the single desk marketing system, farmers, buyers and processors have to look closely at their respective businesses and adapt to a whole new ball game. For some involved in the industry,… Read more »

Corn + Supply + Demand = High Urea Prices

As we head closer into the Western Canadian spring we have always seen a premium in fertilizer prices.  Typically, local supply demand fundamentals become the key driver of price and international markets fall more to the side.  The historical premium in the market that is created is based on the fact that local fertilizer manufacturers… Read more »

Corn School – Bullish or Bearish Corn Prices in 2012?

The story for corn in 2012 is going to depend on a number of things. Numbers are first and foremost the determining factor in this story. How much demand will there be globally? How many acres are going to be planted? How much good seed is available to be planted? What will the yields look… Read more »

Soybean School – Will Soybean Prices Return to the 2008 Highs?

It looks as though the basics of supply and demand are at work in a dramatic way in the soybean market to the point where soybeans could return to the highs of 2008. China is leading the charge on the demand side both from the consumer and the livestock end with growth in global demand… Read more »

Wheat School: John DePutter – Wheat Marketing Strategies In a Volatile Environment

Market turmoil has always been something that producers have had to deal with, but increasingly, one of the only characteristics of the markets you count on is the instability of the markets. As analyst John DePutter put it, ” Volatility is a fact of life in the markets.” Those ups and downs have become more… Read more »

The Global Economy’s Impact on Canadian Agriculture – Glen Hodgson

The continuing saga of the financial crisis in Europe and in particular Greece is leaving a lot of analysts on the edge of their seats. The latest development being the 170 billion dollar Greek bailout deal presented Tuesday. The failure of that deal could have far-reaching implications. But just how much could Europe’s problems spill… Read more »

Greg Kostal – 2012 Canola Market – Demand Bullish & Price Negative

Canola overall had a great year in 2011. Prices climbed to strong highs, demand was steady and acres were up in Western Canada. So where do we go from here? Does the price of canola continue to climb? Does profitability put us in a position where we are over stocked? Do other oils start to push… Read more »

Cropweek 2012 – Brian Clancey on the 2012 Lentil Market Outlook

Lentil acres in Western Canada are projected to be down this year by as much as 25%. This according to Brian Clancey of Stat Publishing comes as a result of poor prices and a poor quality crop of off-grade lentils last year. Farmers are being challenged in their commitment to lentils.  The income potential of… Read more »

USDA WASDE Report is Very Bearish

Moe Agostino, from Risk Management reports on yesterday’s USDA report which has really thrown the corn and soybean market into a bearish tailspin.  the market was somewhat surprised by the numbers but the reality is that ending stocks in corn, wheat and soybeans is not good if you are looking for higher prices. As… Read more »

Gary Pike is Uber Bullish on Ag Commodities

The global economic instability of the last year has no doubt rattled investors and left them looking for any kind of a stable place to invest. One of those places has been agriculture. The growing population and the need to feed them has raised the value of the agricultural industry as a whole. The bottom… Read more »