China/trade/talk is it all getting brushed to the sidelines? Are we becoming numb to the talk? Any surprise from the crop progress report of Monday night? Beans saw some technical movement. Corn has been dead in the water. Wheat market is under some harvest pressure. Why flip the screen…cattle markets go limit down, what is going on in the cattle complex? Boxed beef is starting to fall like a rock. Is there any weight concerns for cattle or hogs? Storm Lake IA pork plant closed due to COVID-19. Outlook for Hogs & Pigs report. How did hogs react to the China talk?
Warmer weather moving in to the Midwest. Lower corn & wheat mixed beans. Ethanol margins remain stable. How much will China and latest ag import halts effect the trade? Does China want more soybeans? Is there worries about Phase One moving forward? How will South America factor in? Marketing year export inspections falling short, no surprise. Any surprises expected in the crop condition reports this afternoon? Is there replanting going on in the eastern corn belt? China is talking of pork cancellations…that will hurt the industry even harder. What will be the incentive to turn the cattle & hog markets around?
No news was good news from the weekend. No trade issues popping up. Some shorts in the market & not a lot of willing sellers. Scattered rain showers will slow some but welcome rain for others. Some solid weekly exports for the corn but soft for the soybeans. Ethanol…could we be getting back to a new norm with summer driving & ethanol exports could be the wild card? Easier to buy then it was to sell on the livestock. How are numbers from the COF report? Slaughter numbers moving forward. Sam talks about the reason for higher hogs today.
President Trump spoke to the farmers today. How are his comments going to have an effect on the markets today & in the days to come? Is the world starting to turn against China & will it help to straighten things out? Politics involved muddies the waters. Is there some stabilization happening in the ethanol market? The President also suggested not taking beef from other countries. A quiet day in the cattle market. Boxed beef dropped again on the day. Hogs saw a downtrend for a Tuesday.
Senate Democrats want Agriculture Secretary Sonny Perdue to provide more worker safety protection to meat processing employees. A group of 29 Senators, led by Democrat Debbie Stabenow of Michigan, penned a letter to Perdue outlining recommendations for ways the Department of Agriculture should improve worker safety.
The Senators wrote, “While we recognize the importance of keeping these plants running, it is wrong and shortsighted to use the Defense Production Act to mandate plants to stay open without effectively addressing worker safety issues.” The group says that while the Trump administration has applauded the reopening of several plants, USDA officials in congressional briefings could not confirm that the plants were operating in accordance with CDC and OSHA guidance.
The Senators urged USDA to ensure that meatpacking plants take sufficient actions to protect worker safety before opening, including reconfiguring the plants to allow for social distancing, providing appropriate personal protective equipment, instituting ongoing testing, ensuring that infected employees are not coming to work, and making other necessary changes to keep workers safe.
Why was the Monday trade so quiet? Is it the calm before the storm? Dow was up, talk of China & trade once is making the news. Is the bans on foreign trade circling back to COVID-19 & China. Cooler temps will that have any effect on the crop progress tonight? Australia gets a tariff put in place on beef from China, China turns around and buys blueberries & barley from the U.S. will this lead to more buys? Higher cattle lower boxed beef. Even though still behind on processing movement more cattle are moving through the plants. Nearby hogs lower dealing with China & taking pork…not still enough to make a dent.
Post virus reopening…crude oil is getting higher; ethanol demand is picking up. Is there a shift in the markets? Potential inflation due to spending? COVID outbreaks at the ports in South America. What does that mean for U.S. exports? Crazy milk market. Seeing some pre-virus prices in come contracts! Lower box beef levels on a Friday.
May contract goes off the board today. Some disappointment in the beans. Weather will continue to be on the back burner. Bean & China…what about the trade talk wants? Cattle had another rough day with hogs being able to hold their own. Thoughts on the movement of boxed beef.
WASHINGTON, D.C. – The National Pork Producers Council (NPPC) expressed strong support for livestock agriculture provisions in the Heroes Act introduced Tuesday by the U.S. House of Representatives Committee on Appropriations. These provisions include funding for the U.S. Department of Agriculture to provide:
- Compensation for euthanized livestock that can’t be processed into the food supply due to COVID-related packing plant capacity reductions. This fact sheet provides an overview of the current challenge faced by U.S. pork producers.
- Expanded direct payments to livestock famers who have suffered severe losses as COVID-related market disruptions have caused the value of their livestock to plummet. In USDA implementation of this program, NPPC continues to seek the removal of payment caps to ensure much-needed aid is extended to those farmers who need it most.
- Increased funding for animal health surveillance and laboratories, which have been tapped to perform COVID-19 testing during this human health emergency.
“U.S. pork producers are facing an unprecedented financial and animal welfare crisis,” said Howard “A.V.” Roth, NPPC president and a hog farmer from Wauzeka, Wisconsin.
“These provisions represent a critical lifeline for hog farmers struggling to weather this storm. We urge Congress to come together quickly on final legislation that includes these provisions.”
“House Agriculture Committee Chairman Collin Peterson has been a champion for U.S. pork producers and the daunting issues they are facing,” added Roth. “We thank him for his support of these provisions.”
For more information on U.S. pork industry’s response to COVID-related challenges, please visit http://nppc.org/issues/issue/your-food-is-our-priority/.
Chinese buying soybeans. WASDE on Tuesday. Est for 2020 carryout is 3.3 billion could be a new record. Largest corn crop on record. What about the stocks to use ratio? How will ethanol & feed demand fair? What are the soybean numbers looking like? Lower stocks & carryout for wheat. On the flip side livestock took a hit on a Monday for the cattle. Hogs were lower, but not as drastic as the cattle market.