GOOD MORNING, The May WASDE report will be released at 11:00 central time. The advertised estimates include higher 20/21 ending stocks for corn with a guess of 3.4 bln bu. But will the numbers released match expectations, and more importantly will funds add to existing short positions or cover something in. Charts this week and last suggest that trading ranges could the theme after all the numbers are released. Rallies stopped at critical resistance levels now defined as $3.23 July corn, $8.65 Nov beans and $8.62 July beans, $295.00 July meal, and 2680c July soyoil. Buy bean/sell corn trade was noted yesterday, and it was reported that China was purchasing 4 cargoes of US beans, which are now cheaper t...
What You Need to Know Today: The corn and soybean markets closed slightly higher in low-volume trade. The wheat market was mixed, with HRW continuing its downward trek on improved moisture. As expected, the bearish cattle on feed report drove down cattle prices and pulled hogs down with it. Mi...
Monday, 25 May is a U.S. holiday, and both the markets and our office will be closed. Please note that the next issue of Ag Perspectives will be published on Tuesday, 26 May. The WPI staff wishes everyone a safe and enjoyable holiday weekend...
USDA’s monthly cattle on feed report was released today. The total number of cattle on feed in feedlots with 1,000 head or more capacity amounted to 11.6 million head, 102 percent of last year. Source: USDA, WPI Placements were up, but part of that is attributable to persistent drought c...
From WPI Consulting
Communicating importance of value-added products
Facing increasing pressure to quantify the value of export promotion efforts to investors, a U.S. industry organization retained WPI to develop a quantitative model that better communicated the importance of exports. The resulting model concluded that value-added meat exports contributed $0.45 cents per bushel to the price of corn, increasing support for that sector’s financial support of WPI’s client. In addition to serving the red meat industry with this type of analysis, WPI has generated similar deliverables for the U.S. soybean and poultry/egg industries.