The latest hog feeding margin estimate from IA State University shows an estimated loss of $11/head for March. This marked the 7th consecutive month of losses according to the IA State model. ARC Research notes that these margins assume spot prices of purchase and sale. If producers were willing to hedge hogs/feed at placement (September),…
The world wheat market’s attention is centered entirely on EU and Black Sea weather. Relief lies ahead for Ukraine and Russia while net soil moisture loss will persist across Central Europe into early May. Both Europe & the Black Sea need regular rains between now and early June to maximize yield potential. World wheat futures…
The EIA’s updated energy outlook accounted for a portion of the dire impact of Covid-19. The dramatic slowing of the world economy produced by Covid-19 has pushed spot WTI crude futures to a new 18-year low at $17/barrel. This is despite the S&P 500 having rallied 27% from its late March bottom on increased Central…
The April WASDE featured significant changes to the US red meat outlook, driven largely by changes caused by coronavirus pandemic. The March Hog report indicated that the USDA should raise their estimate for 2nd quarter pork production. However, the USDA was quick to understand how the virus outbreak would impact the US supply chain and…
The IMF on Tuesday released its semi-annual World Economic Outlook. The report was a tough read as the organization tried to account for the spread of Covid-19 and the partial shuttering of the global economy. IMF projects the world economy to contract 3% in 2020. Advanced economies, such as the US and Europe will contract…
