Dr. Kim Anderson Talks Factors Impacting Commodity Markets This WeekFri, 30 Sep 2022 08:46:47 CDT
This Week on SUNUP is Oklahoma State University Extension grain market economist, Kim Anderson. During this week's edition, Anderson talks about the crop markets and factors impacting prices.
“Not much on the surface if you look at the crops,” Anderson said.
Wheat prices moved down towards the end of last week and into this week, Anderson said, and have been dependent on Russia and Ukraine.
Putin is unpredictable, Anderson said, so there is a lot of uncertainty over there.
“If you look at corn, it has been trending down just a little bit,” Anderson said. “Our harvest is 18-20 percent complete."
In the news this week, Anderson said, is that Mexico announced that in the future they will not be accepting genetically modified corn as we get into 2024 and 2025.
“Then you have got Ukraine that is moving product out and they are a big corn exporter, and right now they are not having an impact on prices, but you shut that off and it could have an impact,” Anderson said.
Soybeans have been trending down the last couple of weeks, Anderson said, and Argentina has been seeing more beans than usual, and they have been selling them to China. China has been ignoring the U.S., he added, and that is one reason those prices have been going down.
“Cotton over the last month or so has moved from $1.20 down to 88 cents for a pound of cotton,” Anderson said. “I think it is that dollar value going from 98 up to 113 or so.”
Then you’ve got world cotton production that is relatively high, Anderson said, and U.S. cotton production that is low.
“If you are looking at wheat, you have got the Argentina and Australia harvest,” Anderson said. “A relatively large harvest in Australia and the average harvest in Argentina. Those harvests will start in the next 6 weeks or so. Something could happen there that would impact prices.”
The dollar is up to 113 now, Anderson said, so if that will back off, it could help move prices up. If it keeps going up, he added, we will have problems exporting our wheat.
This week on SUNUP:
• Seth Byrd, OSU Extension cotton specialist, gives an update on how the cotton crop is faring during drought.
• Wes Lee, OSU Extension Mesonet agricultural coordinator, predicts La Nina likely will continue into early winter. State climatologist Gary McManus analyzes the latest drought monitor.
• Misha Manuchehri, OSU Extension small grains weed specialist, says even though the extremely dry conditions may delay winter weeds, producers still need to plan ways to control them.
• Derrell Peel, OSU Extension livestock marketing specialist, discusses how the drought is impacting auction volumes in the cattle markets.
• Mark Johnson, OSU Extension beef cattle breeding specialist, explains how manage body condition scores in beef calves.
• Rodney Jones, OSU Extension ag finance and management specialist, invites viewers to the upcoming Rural Economic Outlook Conference.
• We preview the upcoming Rural Renewal Symposium.
• Kim Anderson, OSU Extension grain marketing specialist, discusses the effect of Russia’s war with Ukraine on the overall crop markets.
• Rosslyn Biggs, OSU Extension beef cattle specialist, says cattle producers need to be on the lookout for obstructions in their herd this time of year.
Join us for SUNUP:
Saturday at 7:30 a.m. & Sunday at 6 a.m. on OETA (PBS)
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