The USDA could give commodity traders an excuse to take profits in soybean contracts this morning — or push the recent bull run to new levels.
Shifting consumption patterns and recovering harvests are giving Russian farmers more wheat and corn to sell overseas, and if Vladimir Putin is on the money, the final export numbers should help make up for drought conditions elsewhere.
China’s grain output hit record highs in 2011, and senior officials vow that the country will continue its pace of grain imports at appropriate levels to meet its rapidly expanding hunger for foreign produce.
Better shipping facilities in the United States are needed to meet the demand for American products in emerging market countries and other areas, according to George Will in a recent syndicated column in The Washington Post and other papers, “Deeper Ports should not have to wait a decade.”
And they said it couldn’t be done: a $20 billion a year tax credit for ethanol has ended in the United States. Sometimes the American political system does work, even when losing the subsidy directly hurts Iowa farmers in an election year.
Tomorrow they will be talking a lot about La Nina and whether China has leaned too far in the direction of corn to grow enough soy. The entire agricultural group could be in play depending on how the numbers stack up.