Wheat Slides as Trader Optimism for Russian Quota Fades
Wheat for March delivery fell 1.1% to $6.60 3/4 a bushel on the Chicago Board of Trade Thursday, falling after a hoped-for Russian quota didn't materialize. Soybeans for March delivery rose 0.1% to $13.70 1/4 a bushel. Corn for March delivery rose 0.4% to $5.24 1/4 a bushel.
Wheat futures turned lower Thursday after starting higher in the pre-market. Traders said the turnaround came after optimism ebbed that Russia would move forward with a rumored quota, opting to maintain its 50-euro duty put on its wheat exports beginning next month. Russia is the top exporter of wheat globally.
Seed Company Corteva Faces Renewed Activist Pressure
Less than two years after Corteva Inc.'s launch, the crop seed and pesticide maker faces pressure from an activist investor -- a familiar situation for the company's executives.
Delaware-based Corteva was formed from the agricultural businesses of DuPont and Dow Chemical, both of which contended with activist investors ahead of the 2017 merger that fused the two industrial conglomerates. After the companies detailed plans to split DowDuPont into three separate entities, activist firms also challenged the breakup plan.
Farm Bureau Advocates Changes to USDA Data Practices -- Market Talk
14:37 ET - The American Farm Bureau Federation says that the USDA's National Agricultural Statistics Service needs to consider ways to adjust the way it performs crop surveys. "While NASS may have a gold standard reputation for agriculture statistics globally, US farmers' confidence in their reports has unfortunately declined," says AFBF President Zippy Duvall in a statement. Methods to adjust the agency's reports--which include the monthly WASDE report, a chief mover of US grain futures--include adding transparency to "help farmers understand how the agency arrives at the numbers," adapting new technologies to assist data collection faster, and collaborating more with the Farm Bureau. Tensions between farmers and the USDA were particularly elevated in the daunting 2019 growing season. (email@example.com; @kirkmaltais)
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USDA Reports New Round of Flash Export Sales -- Market Talk
09:35 ET - The USDA is reporting a new round of flash sales of US export sales this morning. The USDA says that that 136,000 metric tons of soybeans were sold to China for the 2020/21 marketing year, while 163,290 tons of soybeans were sold to Mexico for 2020/21, 138,000 tons of hard red winter wheat were sold to Nigeria for delivery in 2021/22, and 336,500 tons of corn were sold for delivery to unknown destinations in 2020/21. The new round of confirmation of export interest in US agriculture is seen as supportive for a rebound in trading Thursday. "The export interest in US beans late in this marketing year as well as next year suggests new crop prices will be well-supported from current levels," says Doug Bergman of RCM Alternatives. (firstname.lastname@example.org; @kirkmaltais)
Race-West Identifies Farm in Connection With Butternut Squash Recalls
Produce company Race-West Co. said the butternut squash that was in several recently recalled items was grown and shipped by Brightly Farms in Hamlin, N.Y.
Pero Family Farms Food Co. recalled some products following a notice of possible listeria contamination. Lancaster Foods recalled several squash products, while Publix Super Markets Inc. recalled three private-label items supplied by Pero.
Unilever Pledges Living Wage for Suppliers, $12 Billion for Diversity
Unilever PLC pledged to ensure all its suppliers and service providers pay their workers a living wage by 2030 and earmarked 10 billion euros ($12.2 billion) over five years to support diversity in its supply chain.
The London-based household-goods giant said Thursday that it would meet the living wage ambition through purchasing practices and by working with businesses, governments and nonprofits.
Beef Cutouts Lift Cattle Futures -- Market Talk
15:40 ET - Live cattle futures on the CME finished up 0.9% to $1.1995 per pound. The strength of cattle futures is driven largely by strength in beef products, says Arlan Suderman of StoneX. "The product demand provides encouragement in light of current restrictions on restaurants and food services due to Covid," says Suderman. Boxed beef prices rose across the board Thursday, with the cutout value up 21 cents per hundredweight from yesterday, according to the USDA. Lean hog futures, meanwhile, finished trading Thursday up 1.1% to 73.9 cents per pound. (email@example.com; @kirkmaltais)
(END) Dow Jones Newswires