Nordstream 2 Pipeline Hits Snag | November 17, 2021
Corn, soybean and wheat futures rebounded overnight from Tuesday’s losses, with soybeans leading the move higher. As of 6:30 a.m. CT, soybean futures are around 7 cents higher, corn is fractionally to a penny higher and wheat futures are 2 to 3 cents higher. Front-month crude oil futures are around 50 cents lower and the U.S. dollar index is about 100 points lower this morning.
House Majority Leader Steny Hoyer (D-Md.) says the Build Back Better (BBB)/social spending measure will be done this week. But the issue of the coming Congressional Budget Office (CBO) score of BBB is still a key issue.
Vietnam will eliminate a 3% tariff on U.S. wheat imports effective Dec. 30. The Southeast Asia nation was the lone remaining Comprehensive and Progressive Trans-Pacific Partnership (CPTPP) country applying a tariff on U.S. wheat imports.
Canada could see the area planted to wheat increase by about 6% in 2022 due to high prices, an agriculture ministry official said on Wednesday. The initial projections also indicate around a 10% rise in durum acreage.
The European Union is seeking to ban imports of products from areas at risk of deforestation, in a landmark regulation designed to protect the world’s most vulnerable forests.
Top U.S. trade and commerce officials are meeting this week with their counterparts in Japan, South Korea and India — but not China — as the Biden administration seeks to build stronger economic ties with friendly nations in Asia.
Germany has suspended approval of the Nord Stream 2 pipeline. The pipeline is intended to transport natural gas directly to Germany from Russia. The decision sent Europe’s gas prices soaring, with the price of U.K. natural gas futures surging more than 17% on Tuesday, amid concerns that Europe will run short of gas this winter.
The U.S. could default by Dec. 15 if Congress doesn’t lift the debt limit. Treasury Secretary Janet Yellen told congressional leaders on Tuesday that she has “a high degree of confidence” that her department will be able to finance the government through Dec. 15, not Dec. 3 as previously indicated.
Cash cattle trade has been quiet so far, with only light sales at roughly steady prices compared with week-ago. As traders wait on more active cash trade to develop, they will position themselves for Friday’s Cattle on Feed Report.
The pork cutout value dropped $6.16 on Tuesday, extending the prolonged price slide from the summer high. While the product market continues to reel, the CME lean hog index showed signs of stabilizing.