The optimism cattle producers started off 2012 with has become a little less broad and a little more cautious as 2012 starts to wind down. High commodity prices, a brutal US drought and high replacement costs among other factors have really dampened the high enthusiasm seen at the beginning of the year. It was February... Read More
Category: Markets
Last week's USDA report managed to bring one notable surprise to light. Soybean yields were actually much higher than anticipated. While that may have been a welcome surprise to farmers and is overall a good news story, there will be a bit of an adjustment period while a market, that doesn't really like surprises, adjusts... Read More
13.4 million tonnes of canola is, historically, a big canola crop. For 2012, however, it's a total tonnage figure that disappointed many Western Canadian farmers. As we reported earlier this year, the swaths looked like a 35 bushel crop but yielded closer to 20. Many were shocked by the significantly lower Statistics Canada production number... Read More
Earlier this year the CWB (as it was still named) rolled out handling agreement announcements at Canada's Farm Progress Show at Regina, Sask. During and after the press conference, more than a few weighed in on what percentage of the grain handle the monopoly-less board could possibly attract. Some estimated as much as 30% to... Read More
According to Dow Jones Newswires, CME Group has agreed to buy the Kansas City Board of Trade for US$126 million. CME already owns the Chicago Board of Trade (CBOT). By purchasing Kansas City, CME would then offer wheat contracts for both soft and hard wheats, along with several other agriculture commodity contracts. While it's not... Read More
The 2012 fall feeder run seems to be moving at a very slow pace. Last weeks Canfax Cattle on Feed report would definitely confirm that. All things considered, the slow feeder run may be a blessing in disguise as many of the cattle liners are busy shipping cattle south due to the XL Foods closure... Read More
With less cattle slaughter capacity in Canada, many ranchers and feedyards are concerned about the possibility for the feeder cattle and live basis to significantly widen. A basis that gets too wide makes the current Canadian model unworkable. Currently the live cattle basis sites at 16-18 which is the same as last year at this... Read More
It's no surprise that the fertilizer markets have cooled off this fall, but those farmers shopping for a deal may not want to wait too long to pre-buy. Record prices for corn and soy will definitely pressure prices in to the new growing season, and international buyers are out shopping. Remi Schmaltz, general manager of... Read More
Did your wheat crop make you smile this year? Good yields and high protein in the face of strong commodity prices is the coveted winning trifecta of the wheat world. Unfortunately, Canadian wheat growers are not the only ones with bins full of high protein, quality wheat. The traditional high protein spreads only happen when... Read More
The market seemed surprised by the Statistics Canada report released this morning. Farmers did not. StatsCan slashed a million tonnes from its earlier estimate and has pegged production at 13.2 million tonnes. Initial reaction from farmers was, Yes, we could've have told you that, but some market analysts are concerned the number is perhaps a... Read More