Market Perspectives Summary
1. U.S. Economic Outlook
- Job Growth: Slowing job growth in the U.S., with November private payroll additions at 146,000, the lowest in 3 months.
- GDP: U.S. GDP increased at an annual rate of 2.8% in Q3 2024, down from 3.0% in Q2.
- Farm Income: U.S. net farm income down sharply since 2022, estimated at $140.7 billion, a decline of 27%.
- Crop Production Costs: USDA estimates lower production costs for 2025/26 crops, but with lower prices, margins may be negative.
2. CBOT March 2025 Corn Futures
- Current Market Values: Not specified.
- U.S. Weather/Crop Progress: Crop condition and progress reports not applicable until Spring 2025.
3. Distiller’s Dried Grains with Solubles (DDGS)
- Prices: Average $149 per short ton in November, unchanged from the previous report.
- Production: U.S. ethanol production down 4.1% week-over-week to 1,073 thousand barrels per day.
4. Ocean Freight Markets and Spreads
- Labor Contract: Port and terminal labor contract negotiations ongoing, with potential for strike.
- Freight Rates: Rates weakened to levels not seen since August and September 2023.
- Baltic Indexes: Significant declines in Baltic Capesize, Dry, Panamax, and Supramax indexes.
5. U.S. Export Statistics
- Corn: Net sales of 1,732,400 MT for 2024/2025, up 63% from the previous week.
- Barley: Total net sales of 1,000 MT for 2024/2025, all to Canada.
- Sorghum: Net sales of 4,300 MT for 2024/2025, down 96% from the previous week.
