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Net Farm income jumps in Saskatchewan

StatsCan is reporting Saskatchewan had the largest increase in net farm income in 2015.
 
Net farm income in Saskatchewan reached 2.9 billion dollars, up from 1.6 billion the previous year.
 
Lentils, a crop grown mainly in Saskatchewan, contributed the most to the growth in crop receipts in 2015.
 
Lentil receipts more than doubled as prices rose 57 per-cent.
 
Marketings were up 33 per-cent, as production hit a record level.
 
Increased exports, mainly to India, contributed to the rise in receipts.
 
The depreciation of the Canadian dollar relative to the U.S. dollar supported farm prices.
 
But increased global grain stocks put downward pressure on world prices.
 
However, Canadian farm-gate prices for most grains were up from 2014.
 
Nationally, livestock receipts reached 25.7 billion dollars in 2015, down 0.2 per-cent from the previous year, the first decrease since 2009.
 
This followed a 19 per-cent jump in 2014.
 
Lower hog prices pushed receipts down 17 per-cent.
 
In contrast, cattle receipts increased for the sixth straight year, rising seven per-cent to 10.5 billion dollars.
 
A 20 per-cent gain in prices more than offset an 11 per-cent drop in cattle marketings.
Total farm operating expenses rose 1.2 per-cent, the smallest increase since 2010 and reflected lower fuel prices.
 
Source : CKRM

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U.S.-China Trade “Truce” + U.S. Fed Cuts Rates Again

Video: U.S.-China Trade “Truce” + U.S. Fed Cuts Rates Again


The market was hoping for a US-China trade deal, but we got a trade “truce” for now from the keenly awaited Trump-Xi meeting at the APEC Summit.
China commits to minimum purchase commitments of 12 MMT of U.S. soybeans during the “current season” and a minimum of 25 MMT annually through 2028.
U.S. Treasury Sec Bessent said other Asian countries have agreed to buy additional 19 MMT of US soybean.
Soybean futures trading above $11 now- they normally tend to rally to $12.
As expected, US Fed cuts interest rates by -0.25% again in October to 3.75%–4.00%. No further cuts promised for this year but trade looking out to the Dec FOMC.
The Bank of Canada cut interest rates to 2.25% but raised concern over trade war damage.
Soy meal futures, remarkably, have had 14 consecutive higher close sessions. A bull market in soybeans is a bull market in soy meal!
Cattle futures lower as funds unwind out of cattle for now due to Trump headlines and objective to lower beef prices.
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