Headlines:
- Flooding could wipe out 1m hectares of Argentine soy
Weather prospects for soybeans have been swinging between rain and drought in Argentina so far this growing season, with analyst Dr Michael Cordonnier now warning that as much as 1m hectares could be lost to flooding. Since late December, rains have soaked much of the Argentine heartland, with over a food of rains reported in the Christmas and New Year period across Cordoba, southern Santa Fe, northern Buenos Aires, and Entre Rios. “It is hard to get accurate information concerning the extent of the flooding due to the holidays, but I did see one report that mentioned 450,000 hectares had been declared a state of emergency,” said Dr Cordonnier.
Summary:
President-elect Donald Trump is not in office just quite yet (16 days to go) yet his transition team is already signaling that the elimination of the highly invasive Waters of the United States rule known as WOTUS is a Trump administration priority. Dale Moore of the American Farm Bureau Federation has contended that overregulation drains farmers’ bottom lines. Trump’s cabinet nominations are consistent with his campaign promises for the AG community that was key in getting him elected. His cabinet choices include Oklahoma attorney general Scott Pruitt, who sued to block WOTUS, to run EPA; former Governor Rick Perry of Texas, the #1 cattle and oil state, for energy secretary; and Representative Ryan Zinke of Montana, a supporter of energy independence, to head the Interior Department, the largest federal land supervisor. The nominee for Labor secretary, Andy Puzder, “will be a key leader” in renegotiation of NAFTA and the Trans-Pacific Partnership trade pact, according to Sean Spicer a Trump spokesperson.
The prospect of damaging weather news from Argentina caused Beans to rocket higher on Tuesday last week but that effects did not last. Once again today damaging weather forecasts has propelled Beans higher. It closed at 1014.25 up 19.25 cents. Wheat and Corn also rallied and Wheat was particularly strong with the largest percentage advance on the day. Crop damage in Kanas was responsible for the surge in Wheat and the news is right in line with our time factor looking for an advance in Wheat. Wheat gained 11.25 and Corn rose 4.25. Crude Oil returned to strength after a poor showing yesterday. Rounding out the day the US Dollar continues to have trouble at our resistance level of 103.72.
