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Hay Supplies Tightening on Both Sides of Border

Hay supplies are shaping up to be tight on both sides of the Canada-U.S. border this year.
 
In Canada, overly dry conditions across the Prairies are sharply reducing yields and many producers are not expected to even get a second cut. Meanwhile, U.S. hay supplies are tightening on limited supply combined with strong domestic and export demand.
 
According to the USDA, U.S. hay harvested area this year will come in at 52.8 million acres, down only slightly from a year earlier but the lowest since 1908. Record-low hay production is expected in many states right from California to Ohio, with prices in the spring reported at the highest since 2014, ranging from around US$150/tonne for hay excluding alfalfa and $205 for alfalfa.
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USDA Feb Crop Report a WIN for Soybeans + 1 Year Trade Truce Extension

Video: USDA Feb Crop Report a WIN for Soybeans + 1 Year Trade Truce Extension


USDA took Trumps comments that China would buy more U.S. soybeans seriously and headline news that the U.S./China trade truce would be extended when Trump/Xi meet in the first week of April was a BIG WIN for soybeans this week! 2026 “Mini” U.S. ethanol boom thanks to 45Z + China’s ban of phosphates from Feb. – August of 2026 will not help lower fertilizer prices anytime soon! 30 mmt of Chinese corn harvest is of poor quality and maybe a technical breakout in wheat futures.

*Apologies! Where we talk about the latest CFTC update as of 10th Feb 2026, managed money funds covered their net short position in canola to the tune of +42,746 week-on-week to flip to net long 145 contracts and not (as we mistakenly said) +90,009 wk/wk to 47,408.