Ag Groups Applaud House Vote on E15 Sales

Farm and biofuel groups praised the U.S. House after lawmakers approved legislation allowing the nationwide year-round sale of E15 gasoline, a move supporters say would boost corn demand, lower fuel costs and strengthen rural economies. The House voted 218-203 on Wednesday to pass the Nationwide Consumer and Fuel Retailer Choice Act, which would permanently allow sales of gasoline blended with 15% ethanol during summer months. Current federal rules restrict E15 sales in many states during the summer because of air-quality regulations. The American Farm Bureau Federation called the measure a “win-win” for farmers and consumers. President Zippy Duvall said expanded E15 access would increase corn demand and provide drivers with fuel often priced below standard gasoline. The National Farmers Union,  American Coalition for Ethanol and other biofuel groups also applauded the bipartisan vote, arguing permanent E15 sales would provide more certainty for ethanol producers and rural communities. Supporters said the bill could help farmers facing weak commodity prices and rising production costs while offering consumers another lower-cost fuel option. The legislation now moves to the Senate.

Farm Bill Debate Intensifies as Congress Eyes 2026 Legislation

Congressional negotiations over the next farm bill intensified this week as lawmakers continued debating funding priorities, nutrition programs and conservation spending tied to the legislation that shapes U.S. agriculture policy. House and Senate agriculture leaders are working to advance a new multiyear farm bill after repeated delays in recent years. Discussions have focused heavily on Supplemental Nutrition Assistance Program funding, crop insurance protections and conservation initiatives important to farmers and ranchers. Agricultural organizations remain divided on several provisions, including pesticide liability protections and proposed changes to commodity support programs. Farm groups have urged lawmakers to complete the legislation this year amid ongoing uncertainty in commodity markets, high input costs and global trade concerns. Supporters say the bill is critical to providing stability for producers facing weather challenges and fluctuating prices, while critics argue disagreements over spending priorities could slow progress. The current farm bill framework has been extended several times as negotiations continue.

USDA Soybean Oil Export Outlook Raises Concerns About Market Volatility

New USDA projections for soybean oil exports are increasing concerns about price volatility in agricultural markets as demand tied to renewable fuels continues reshaping the soybean sector. Analysts with the University of Illinois’ farmdoc daily said the government’s first 2026-27 soybean outlook projects stronger domestic soybean crushing and growing soybean oil exports, while overall soybean ending stocks are expected to remain tighter than many traders anticipated. The report said increased reliance on soybean oil for renewable diesel and biofuel production could disconnect U.S. soybean oil prices from broader global vegetable oil markets, potentially leading to sharper swings in prices. Researchers noted export projections remain uncertain because global demand, biofuel policy and trade conditions could change quickly. Market analysts said volatility in soybean oil prices could eventually influence soybean acreage decisions, processing margins and farm profitability across major soybean-producing states.

U.S. Wheat Associates Welcomes USDA Announcement of Award for Food for Peace Program

U.S. Wheat Associates (USW) welcomes the announcement of the award of 20,000 metric tons (MT) for emergency feeding programs under the USDA administration of the Food for Peace program. “We appreciate the efforts of Agriculture Secretary Brooke Rollins, Under Secretary for Trade and Foreign Agricultural Affairs Luke Lindberg and their teams for their hard work to bring this first award of wheat under the USDA’s administration of the Food for Peace program,” said Dalton Henry, USW vice president of communications and policy. The wheat is destined for emergency feeding programs in East Africa, which will be delivered by the World Food Program. Shipment is expected to take place later this summer along with other commodities, including rice and sorghum. “This is the first of hopefully many shipments under the USDA’s administration of the Food for Peace program,” said Amanda Hoey, chief executive officer of the Oregon Wheat Commission and chair of the USW Food Aid Working Group. 

USDA Data Shows Record Corn, Soybean Yields in 2025

Newly released USDA county yield estimates show U.S. corn and soybean production reached record levels in 2025, with the highest yields concentrated across the central Corn Belt. The National Agricultural Statistics Service reported the national average corn yield reached a record 186.5 bushels per acre last year, while soybean yields averaged a record 53 bushels per acre, according to an analysis published by farmdoc daily at the University of Illinois. Winter wheat yields averaged 54.9 bushels per acre, the second-highest on record. Illinois led many yield categories, with several counties topping 240 bushels per acre for corn and more than 73 bushels per acre for soybeans. Yields generally remained strongest across Illinois, Iowa, Indiana and parts of Nebraska and Minnesota. Researchers also noted a continued decline in the number of counties reporting USDA yield estimates, largely tied to lower farmer survey participation rates. 

Senate Democrats Question USDA Research Reorganization Plans

Sen. Amy Klobuchar and 23 other senators are raising concerns about the U.S. Department of Agriculture’s planned reorganization of its Research, Education and Economics mission area, saying the changes could disrupt agricultural research and economic reporting. In a letter sent to USDA officials, the lawmakers said they support efforts to improve efficiency but warned the restructuring could weaken the department’s research agencies and limit their ability to provide scientific innovation and economic data to farmers and rural communities. The senators asked USDA to provide details about steps being taken to reduce disruptions for farmers, ranchers and agricultural researchers during the transition. They also urged the department to follow Government Accountability Office recommendations related to federal agency reorganizations. The Research, Education and Economics division oversees several USDA agencies, including the Economic Research Service and the National Agricultural Statistics Service, which provide data and research widely used throughout the agriculture industry. The letter was signed by Democratic senators and two independents who caucus with Democrats.

Friday Watch List

Markets

On Friday, traders will continue to watch for details emerging from the second day of meetings between President Trump and President Xi in Beijing. After the close, CFTC will wrap up the week with the Commitments of Traders report, updating positions as of Tuesday, May 12.

Weather

A stalling front is the focal point for some scattered showers and thunderstorms for the middle of the country on Friday. From southwest Kansas through Wisconsin, we should see thunderstorms developing Friday afternoon and evening. A risk of strong winds and hail are expected. Breezy winds in the Northern Plains and Canadian Prairies continue, though weaker than the past couple of days. Rain will change to snow for some in the northern Canadian Prairies.