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Agriculture

December Corn Rises 3¢ While Other Commodities Have Mixed Movements

2024-11-20

December witnessed a series of fluctuations in various commodity markets. From grains to energy and indices, the day ended with a mix of gains and losses. Let's take a closer look at the details.

Unraveling the Daily Commodity Market Movements

Grain Market

December corn ended the day up 3¢, showing a positive trend. However, in the morning, it was down less than a penny. Al Kluis from Kluis Commodity Advisors noted that the corn cash bids were inverting due to strong export and processor demand along with slow farmer selling, keeping cash prices moving higher. The March-to-July corn spread has narrowed to just 11¢.

January soybeans closed down 8¢. This morning, USDA announced new soybean sales. China is buying 202,000 metric tons for the 2024/2025 marketing year, and unknown destinations are purchasing 226,200 metric tons.

Wheat Market

March wheat contracts closed higher for the fourth consecutive day. CBOT wheat was up 4½¢, KC wheat was up 3¼¢, and Minneapolis wheat was up 2¢. However, in the morning, it was mixed with CBOT wheat up 1¼¢ and KC wheat up 2¼¢, while Minneapolis wheat was down less than a penny.

Livestock Market

February live cattle ended the day down 8¢, but in the morning, it was up 18¢. January feeder cattle were up 33¢ at the close and 28¢ in the morning. February lean hogs were up $1.60, with an increase of 30¢ in the morning.

Energy Market

January crude oil is currently up 36¢, while December S&P 500 futures and Dow futures are down 28 points and 34 points respectively. The U.S. Dollar Index December contract is up to 106.74.

Published: 2:31 p.m. CTGrains Start Day Mixed: 9:12 a.m. CT

As of Nov. 17, the USDA Crop Progress report provides valuable insights into the winter wheat planting and emergence status of the country's top 18 growing states. Let's take a closer look at each state and its agricultural progress.

Uncover the Winter Wheat Story Across the Nation

Washington

Washington stands out as the state with the longest winter wheat planting duration among the top 18. Farmers completed the planting by the week ending Oct. 27, a full 4% ahead of the five-year average. Moreover, 100% of the winter wheat has now completely emerged, showing an increase of 1 percentage point from the previous week and being 7 percentage points ahead of the average. USDA rated the state's winter wheat as 2% very poor, 8% poor, 37% fair, 42% good, and 11% excellent.

The early completion of planting and the good emergence progress highlight Washington's agricultural prowess in winter wheat cultivation. This sets a positive tone for the state's agricultural sector and indicates a promising harvest ahead.

Nebraska

Nebraska farmers managed to get their entire winter wheat in the ground by the week ending Nov. 3, which was in line with the five-year average. As of Nov. 17, 91% of the crop had emerged, with only a 1-percentage-point increase from the previous week. However, winter wheat emergence in Nebraska is still behind the five-year average of 99%. USDA rated Nebraska's winter wheat at 7% very poor, 20% poor, 39% fair, 28% good, and 6% excellent.

The state's relatively stable planting progress but slightly behind emergence indicates that there is still room for improvement. Nebraska's farmers will need to focus on ensuring optimal conditions for the remaining wheat to catch up with the average and achieve a successful harvest.

Idaho

Idaho completed its winter wheat planting by the week ending Nov. 10, on track with the five-year average. With planting wrapped up, emergence reached 95% by Nov. 17, just shy of the five-year average of 96%. Only 1% of Idaho's winter wheat was rated less than fair, with the overall rating being 0% very poor, 1% poor, 52% fair, 41% good, and 6% excellent.

The smooth planting and near-average emergence in Idaho showcase the state's efficient agricultural operations. The relatively high percentage of fair and good-rated wheat indicates a healthy crop with potential for a good yield.

South Dakota

Winter wheat planting in South Dakota was completed by the week ending Nov. 10, on par with the five-year average. By Nov. 17, emergence of the crop reached 83%, an increase of 8 percentage points from the previous week. Despite this progress, it is still 11 percentage points behind the five-year average. USDA rated South Dakota's winter wheat as 4% very poor, 27% poor, 43% fair, 22% good, and 4% excellent.

The state's on-time planting and the significant increase in emergence show that South Dakota is making good progress. However, the gap in emergence compared to the average indicates that there are areas where farmers can focus on improving soil conditions and other factors to enhance wheat growth.

Michigan

Michigan also achieved 100% winter wheat planting by the week ending Nov. 10, which was 8 percentage points ahead of the five-year average for the state. Wheat emergence reached 96% as of Nov. 17, 4 percentage points higher than the previous week. Emergence is actually 8 percentage points ahead of the five-year average. USDA rated the state's crop as 0% very poor, 1% poor, 25% fair, 57% good, and 17% excellent.

Michigan's early and successful planting, along with the excellent emergence progress, bodes well for the state's winter wheat production. The high percentage of good-rated wheat suggests that the crop is in good shape and has the potential for a fruitful harvest.

Montana

Winter wheat planting in Montana reached 100% by the week ending Nov. 17, an increase of 1 percentage point from the previous week and 1 percentage point ahead of the five-year average. Emergence hit 91%, with a 5-percentage-point increase from the previous week and being 3 percentage points ahead of the average. USDA rated Montana's winter wheat at 6% very poor, 9% poor, 50% fair, 35% good, and 0% excellent. It is the only one of the top 18 states with no excellent-rated crop.

Montana's successful planting and the notable increase in emergence demonstrate the state's agricultural capabilities. The relatively high percentage of fair and good-rated wheat indicates that the crop is in decent condition, although the absence of excellent-rated wheat presents a challenge that farmers will need to address.

Ohio

In Ohio, winter wheat planting reached 100% by the week ending Nov. 17, an increase of 1 percentage point from the previous week and ahead of the five-year average of 99%. Emergence reached 94% by Nov. 17, an increase of 8 percentage points from the previous week, putting the state 2 percentage points ahead of the average. USDA rated Ohio's winter wheat as 1% very poor, 4% poor, 36% fair, 47% good, and 12% excellent.

Ohio's timely planting and the significant improvement in emergence highlight the state's agricultural efficiency. The balanced rating of the wheat crop suggests that there are areas of strength and areas that need further attention to ensure a high-quality harvest.

Oregon

Oregon's winter wheat planting wrapped up on Nov. 17, just ahead of the five-year average of 98%. Emergence hit 88% by Nov. 17, with a remarkable 16-percentage-point increase in the week and far exceeding the five-year average of 74%. The state's crop was rated 2% very poor, 8% poor, 30% fair, 37% good, and 23% excellent.

Oregon's early completion of planting and the substantial increase in emergence showcase the state's agricultural success. The high percentage of good-rated wheat indicates that the crop is in excellent condition and has the potential for a bountiful harvest.

On Saturday, President-elect Donald Trump made a surprising choice by tapping Brooke Rollins to serve as the next USDA Secretary of Agriculture. This decision has sparked significant reactions within the agricultural industry and among various stakeholders.

Trump's Agricultural Leadership: Rollins at the Helm

National Sorghum Producers' Perspective

Amy France, a sorghum farmer from Scott City, Kansas, was among the first to comment on Trump's nomination. "We extend our congratulations to Brooke Rollins on her nomination. This is a crucial moment for U.S. agriculture, and we are optimistic about the opportunities her leadership will bring to rural America," said France, chairwoman of the National Sorghum Producers. "Sorghum farmers are at the forefront of innovation, contributing to domestic biofuels and heart-healthy, nutritious ancient grain foods. We are eager to collaborate with her to enhance policies that strengthen the sorghum industry and benefit growers nationwide."Sorghum farming is not just a traditional agricultural practice; it is a dynamic sector that holds great potential. The sorghum industry has been steadily growing, with farmers constantly exploring new ways to maximize its benefits. France's words highlight the significance of Rollins' role in supporting and promoting this growth.

National Corn Growers Association's View

The National Corn Growers Association (NCGA), representing over 300,000 farmers, also offered congratulations. President Kenneth Hartman Jr. stated, "We congratulate Brooke Rollins on her nomination. We look forward to working with her on issues crucial to production agriculture, such as expanding domestic and international markets for corn and improving farm and tax policies."Corn is a staple in the American agricultural landscape, and the NCGA's involvement showcases the importance of this crop. The association's efforts to expand markets and improve policies are essential for the continued success of corn farmers. Rollins' appointment provides an opportunity to address the challenges and opportunities facing the corn industry.

National Grain and Feed Association's Stand

The National Grain and Feed Association (NGFA), consisting of various grain-related companies, released a statement. President and CEO Mike Seyfert said, "On behalf of our member companies, we congratulate Brooke Rollins on her nomination. NGFA's members represent a significant part of the food and agriculture chain, and we are excited to partner with her to deliver for U.S. agriculture. We are confident she will bring valuable insights to the issues important to our members and the entire food and agriculture chain."The grain and feed industry plays a vital role in the food supply chain, and the NGFA's support for Rollins emphasizes the need for a coordinated effort to ensure the success of this sector. Rollins' leadership is expected to have a positive impact on the entire food and agriculture ecosystem.

Growth Energy's Expectations

Growth Energy CEO Emily Skor reacted to the nomination, stating, "Growth Energy looks forward to engaging with Secretary Designate Rollins and demonstrating how our industry is crucial for job growth and innovation in rural America. The USDA Secretary is the voice of rural America in the White House, and we will work hard to ensure Rollins is well-prepared to fulfill President Trump's rural agenda, expand markets for homegrown renewable fuel, and provide more low-cost options at the pump."Renewable energy is an emerging sector with significant potential, and Growth Energy's role in this context is crucial. Rollins' appointment allows for a focus on promoting renewable energy and its benefits for rural America.

American Farm Bureau Federation's Take

The American Farm Bureau Federation (AFBF), advocating for farmers and rural communities, congratulated Rollins. President Zippy Duvall said, "We are pleased she has a good relationship with our state Farm Bureau in Texas and hope to build on it if she is confirmed. We are encouraged by her statement that she will 'fight for America's farmers and our nation's agricultural communities.' Effective leadership at USDA is more important than ever as farmers face a struggling agricultural economy."The Farm Bureau's support highlights the need for strong leadership during challenging times. Rollins' commitment to representing farmers and rural communities is seen as essential for the future of agriculture.

American Soybean Association's Perspective

The American Soybean Association (ASA), with 26 affiliated state soybean associations, congratulated Rollins. The association said, "We look forward to working with her on priorities ranging from the farm bill to biotechnology, biofuels support to agricultural trade. Soybean farmers play a significant role in the U.S. economy, and Rollins' appointment provides an opportunity to address the issues that impact them."Soybean farming is a major industry, and the ASA's involvement shows the importance of considering the interests of soybean growers. Rollins' role in shaping policies related to soybeans is expected to have a profound impact on this sector.

National Farmers Union's Outlook

The National Farmers Union (NFU), representing family farmers across the country, congratulated Rollins. President Rob Larew said, "I hope her rural roots instilled in her the importance of family farmers. If confirmed, she will face historic challenges, and we are eager to collaborate on solutions to ensure fair markets and a vibrant rural economy."Family farmers are the backbone of American agriculture, and the NFU's focus on fair markets and a strong rural economy is crucial. Rollins' leadership is expected to address the challenges faced by family farmers.

Food and Environment Program's Concerns

The Food and Environment (F&E) Program at the Union of Concerned Scientists expressed concerns. Deputy Director Karen Perry Stillerman said, "Outside of a misdirected interest in Chinese ownership of U.S. farmland, Brooke Rollins appears to have no agricultural policy track record. This seems to be another example of loyalty-based cabinet appointments rather than expertise."The F&E Program's perspective raises questions about the need for agricultural expertise in the USDA secretary position. It emphasizes the importance of having a leader with a proven track record in agricultural policy.

National Association of State Departments of Agriculture's Aspirations

The National Association of State Departments of Agriculture (NASDA) congratulated Rollins and looked forward to working with her. CEO Ted McKinney said, "NASDA members look forward to working with a leader committed to ensuring agriculture leads the way toward a healthy and resilient world. As co-regulators, we will work with Brooke Rollins to seek innovative opportunities."NASDA's role in promoting agriculture and working with the federal government is significant. Rollins' appointment provides an opportunity for collaboration and the pursuit of common goals.

National Association of Wheat Growers and U.S. Wheat Associates' Support

The National Association of Wheat Growers (NAWG) and U.S. Wheat Associates (USW) released a joint statement. Chandler Goule said, "NAWG members look forward to working together to foster public policy initiatives that will help wheat growers thrive." USW President Vince Peterson said, "We welcome a renewed partnership with her and USDA to support U.S. agriculture."Wheat farming is an important part of the agricultural economy, and the joint statement highlights the need for collaborative efforts to support wheat growers.

Glenn Thompson's Congratulation

House Agriculture Committee Chairman Glenn Thompson (R-Pa.) congratulated Rollins and said he looks forward to working with her to "make agriculture great again!"Thompson's support shows the importance of agricultural leadership in the legislative arena. Rollins' appointment provides an opportunity to work together to address agricultural issues.

Abel Maldonado's Endorsement

Abel Maldonado, on the unofficial short list, echoed support for Rollins by reposting congratulatory messages. His background as a former lieutenant governor adds to the significance of his endorsement.Maldonado's experience and influence bring additional credibility to Rollins' appointment.

Kip Tom's Best Wishes

Kip Tom, also on the unofficial short list, congratulated Rollins. He emphasized her rural background and commitment to agriculture.Tom's words highlight the importance of having a leader with a deep connection to the agricultural community.

Charles Herbster's Appreciation

Charles Herbster, who was considered for the role, expressed his honor and support for Rollins. His experience on the Executive Committee Board adds to the perception of Rollins' capabilities.Herbster's words demonstrate the respect and confidence in Rollins' ability to lead the USDA.