NCGA comments on presidential election results

Nov 09, 2016

Organization says it’s time to “get to work”

By Diego Flammini
Assistant Editor, North American Content
Farms.com

Last night the world watched as Donald Trump defeated Hillary Clinton to become the 45^th president of the United States. The agriculture industry is offering its congratulations to the Republican winner.

“The National Corn Growers Association (NCGA) today congratulated Donald Trump on his election as the 45^th president…,” NCGA said in a release.

Wesley Spurlock, NCGA president, said now that the campaign is over, political differences need to be set aside and it’s time to “get to work.”

“As a supporter of the No Labels movement, the NCGA believes in bipartisan problem-solving and building a more responsive government,” he said in the release. “We stand ready to work with President-Elect Trump and the new Congress…”

Trump won’t be sworn in as the next president until January 20, 2017. NCGA is hoping the Obama government can still make progress with the Trans-Pacific Partnership.

A trade deal Trump has vowed to withdraw from.

“We urge Congress to pass the Trans-Pacific Partnership when they return to Washington next month,” Spurlock said in the release. “TPP is the one thing Congress can do right now to increase farm income, generate economic activity and promote job growth.”

Farms.com also reached out to the American Soybean Association and American Farm Bureau Federation for comments and awaits their responses.

Video: Will the 2025 USDA December Crop Report Be a Market Mover/Surprise?

Historically, the USDA December crop report is a non-event or another dud report as the USDA reserves any final supply changes to the final report in January of the following year in this case 2026. But after the longest U.S. government shutdown in history at 43 days and no October crop report will they provide more data/surprise and make an exception?
Our China U.S. soybean purchase tracker is now at 26.6% or a total of 3.2 mmt but for traders it’s taking too long to unfold.
The final Stats Canada production report was bearish canola and wheat projection a record crop in both (it adds to the global glut of supplies) and bullish local corn and soybean prices in Ontario/Quebec thanks to a drought. It will not help the fund flow short-term, the USDA may need to offset it?
A U.S. Fed interest rate cut of another 25-basis point next Wednesday (probability 87.1%) could help fund flow and sentiment in stock and ag commodities into year end.
More inflows into Bitcoin this past week saw prices rebound back above 90,000 with support at 82,000 and resistance at 96,000.
A V-shaped bottom in cattle suggest the lows are in after Mexico reported another new world screwworm case. Lower weights, seasonal demand and higher U.S. beef select/choice values with a continued closure of the Mexican border to cattle will result in a resumption of higher cattle futures into yearend.
Australia is expected to produce its 3rd largest wheat crop ever at 36 mmt adding to the global glut of supplies.
Reports of ASF in hogs in Spain the largest pork exporter in Europe could see the U.S. win more pork export business long-term.
If the rains verify into next week of 3-5 inches for Brazil it would go a long way to fixing the dry regions from the last 2-months, but the European weather model has been wrong for the past 2-months!
Natural gas futures are surging to the 3rd price count as frigid hold temps set in.
CDN $ is also surging to end the week on a very resilient economy and better employment numbers suggesting no interest rate cuts next week.
Finally, the CFTC report showed funds were net buyers of soybeans but sellers of corn, canola and wheat. In real time the funds have gone back to selling as they take some profits.