USDA boosted the 2024 projection for Argentine soybean production to 50 million metric tons, up two million tonnes from the December forecast and double the very small 2023 soybean crop of just 25 million tonnes. Argentina has an outsized impact on the world soybean meal market because domestic consumption is Read more…
Midwest soybean processing margins have declined since the end of harvest, a normal seasonal phenomena. Mid January margins are also under those of the preceding two years, leaving less cushion for soybean prices going into the peak of the South American soybean harvest in February through April. Midwest Soybean Processing Read more…
Corn ethanol processing margins have improved since completion of harvest. A partial recovery in ethanol prices has exceeded declining values of by-products like corn gluten meal. Feed stock (corn) prices have also declined and are the dominant variable force in determining corn ethanol processing profitability. Ethanol demand is highly subsidized Read more…
USDA cut the estimate of the 2024 Brazilian soybean crop by four million tonnes this month due to dry weather early in the production cycle. Late rains appear to have stabilized Brazilian 2024 soybean production prospects. The accompanying chart displays the Brazilian soybean soybean crop estimate published by USDA in Read more…
This month the USDA forecast the 2023/24 crop year US soybean carryout at 280 million bushels or about 7% of crop year usage. Based on the soybean inflation adjusted price-carryout function over the last 50 years, a carryout of 280 million bushels would result in a projected January – May Read more…
USDA is scheduled to publish results of the January US cattle survey on January 31,2024. We estimate the January 1 herd numbered less than 88 million head, down 2% on a year over year basis Our estimates assume the USDA’s projection of the U:S second half 2023 calf crop projection Read more…