USDA Reports Summary
USDA released its May Crop Production and World Agricultural Supply and Demand Estimates (WASDE) reports on Tuesday.
USDA Reports Review
The USDA WASDE report on May 12 featured shockingly low wheat production numbers, especially for hard red winter wheat and the Kansas City futures specifically. The months-long drought, combined with a series of frost events, sent wheat production well below pre-report trade expectations. The market reacted accordingly, with the already long managed money funds likely adding to their tally by the end of Tuesday.
How Does Congress Deal With Fertilizer?
Farmers highlighted their frustrations over fertilizer price moves, while senators drilled into questions over price reporting and expanding fertilizer supplies during a Senate Agriculture Committee hearing on Tuesday. At least one witness called on Congress to consider more aid relief for producers to deal with the price impacts caused by the war in Iran.