Ag News, Wednesday May 4, 2016

Soybeans Futures Reach 15 Month High

U.S. soybean futures pushed to their highest point in over a year during the overnight session Tuesday morning, before a downturn during the day trading session. Reuters says futures rose as crop damage in Argentina and fund buying pushed prices higher. Argentina lost nine million tons of soybeans in April storms that swamped part of the nation’s farm belt. An analyst with the Argentina state weather agency is now forecasting a 15 to 16 percent drop in production in Argentina, the world’s third-largest soybean exporter. The sun has come out too late to help the hardest-hit areas in Argentina. Importers such as China are now said to be looking at the United States to make up for the drop in Argentina supplies.

Other Bills Come Before The Next Farm Bill

Senate Ag Committee Chair Pat Roberts, a Kansas Republican, and Committee Ranking Democrat Debbie Stabenow of Michigan, agree there are more important things to work on than the 2018 Farm Bill. Last week, the two Senators told agriculture journalists’ that speculation regarding the new Farm Bill should wait. Roberts and Stabenow say they look forward to the Senate considering their bipartisan Child Nutrition Reauthorization bill. Each noted the Congressional Budget Office has been very slow in calculating the various costs of the provisions. Roberts says the Child Nutrition bill and bills to establish federal rather than state labeling of genetically modified foods as well as the Commodity Futures Trading Commission must come before the new Farm Bill. Roberts and Stabenow both say they are opposed to opening the current Farm Bill and were glad to beat back efforts to cut the crop insurance budget.

Source:  NAFB News