PoultryUSA - September 2017 - 8
8 ❙ WATTPoultryUSA
❱❱NEXT ON THE PLATE
than did consumers on all four issues, paralleling other
recent surveys we have conducted.
In the PCI poll, respondents ranked (mean ranking of 1
of 4 in importance) the importance of issues as follows:
■ Cutting federal regulations on business 3.188
■ Improving U.S. trade relations with other nations 2.763
■ Creating new jobs 2.193
■ Reducing federal spending 2.046 ■
Greg Rennier, Ph.D., is president of Rennier Associates Inc. To contact Rennier, email firstname.lastname@example.org.
Soybean meal prices:
what's ahead for rest of 2017?
Soybean meal prices - barring a rally on some unforeseen crop issues
- could be about $280 per metric ton by December of 2017.
BY MATT BEESON
As the summer volatility in soybean prices has developed
(see "Spring 2017 soybean prices: more upside than downside" www.WATTAgNet.com/articles/30431), what is next
for the soybean meal market?
Aug-Oct soybean meal price
New calendar year highs were set on July 10 of this
year. Does a rallying meal market in July 2017 indicate
any future direction for meal prices?
The accompanying chart presents the range in
December soybean meal traded during AugustOctober as a percentage of the July high. That
percentage is applied to 2017's June high of $313.70
Source: Matt Beeson
to index the prior years to 2017. The current market
for December meal near $335 is shown as the red
dotted line. The years are sorted by the amount of
the rally in July. The blue shaded area are years
where meal rallied into July. Note that 2017 is the
third highest year for prices since 1986.
Impact for soybean meal buyers
The fact that prices are higher on the right of the
chart during August-October when prices rally into
July makes sense. Firmer prices into the fall when
meal is rallying in July makes sense because a July
rally is usually weather related. The decline in 2008
was related to the financial crisis in the autumn of
Rally from May/June into July
The years with significant upside from $335 December meal onto
August-October were years where the weather scare developed into real
weather issues and soybean yields below trend (2010, 2007 and 2012).
www.WATTAgNet.com ❙ September 2017