Key Livestock Reports Out Today | October 22, 2021

Biden hopes for a House floor vote on human infrastructure bill by the end of the month, China encourages coal production and USDA is short-staffed...

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Wheat futures followed the European market higher overnight, with December HRS wheat scoring a new contract high. As of 6:30 a.m. CT, wheat futures are mostly 7 to 14 cents higher, while corn and soybeans are mostly 4 to 5 cents higher. The U.S. dollar index is around 180 points lower and front-month crude oil futures are about 50 cents higher this morning.

White House officials are urging Democratic congressional leadership to move toward a House floor vote next week on both the bipartisan infrastructure bill (BIF) and the Build Back Better (BBB) reconciliation package ahead of President Joe Biden’s trip to Europe at the end of the month. Most observers think the timeline while not impossible is improbable.

China is pushing coal miners to maximize output and hiking imports in an attempt rebuild stockpiles before the winter heating season amid the country’s energy crunch. China’s state-run China National Offshore Oil Corp. booked two cargoes of diesel for import in November, according to trade sources cited by Reuters.

A U.S. intelligence report warns about the geopolitical costs of climate change... The report says rising global temperatures pose a growing national-security risk, as nations battle over who will pay for climate-related costs, maneuver for advantage in a melting Arctic and grapple with drought and migration.

The Federal Reserve on Thursday announced stricter investment rules for officials of the central bank following recent controversies over trading activities.

USDA is faced with agency staffing challenges including several of President Joe Biden’s undersecretary nominees waiting for Senate confirmation. USDA Secretary Tom Vilsack, who previously served in the same role for nearly eight years under President Barack Obama, said his department is operating with 3,000 to 4,000 fewer employees than when he last headed the agency.

USDA’s Cattle on Feed Report at 2:00 p.m. CT is expected to show Oct. 1 feedlot inventories down fractionally from year-ago. But the number of cattle placed into feedlots in September is expected to be up.

The Cold Storage Report will also be released at 2 pm Central Time this afternoon. Beef and pork stocks typically build during September.

Just light cash cattle trade has been reported at steady to firmer prices so far this week. Unless there’s a major shift this morning, it looks like the bulk of this week’s cash trade will wait until after the Cattle on Feed Report.

December lean hog futures are falling faster than the cash index, extending their already wide discount. December hogs settled at $73.20 on Thursday, $11.63 below where the cash index will be quoted today.