Russian Grain Markets: 10–14 June 2024 Last week, Russian grain markets were quite volatile. In the south, the main export-oriented areas saw grain prices drop following the global bearish trend and Russia’s most recent failure on the GASC tender in Egypt. Moreover, Russia’s south will soon start harvesting wheat and it would be logical for them, under the circumstances, to start buying new crop at better prices, even if on forwarding basis. Most of the multinational companies left Russia and this may leave Russian farmers in a situation where large Russian oligarch related grain traders will use their monopoly status thus decreasing potential farmers’ margins. But even on the domestic market, Russia bullish sentime...
What You Need to Know Today: Corn, wheat, and the soy complex all formed new contract or at least rally highs to close what has become one of the most uniformly bullish weeks in CBOT history. Escalations in the fighting between Russia and Ukraine and attacks on civilian merchant vessels show n...
Macro: Trade Flows Set the Tone Persian Gulf crude flows appear to be improving, with anecdotal estimates suggesting as much as 7–8 million barrels per day may now be leaving the region — nearly double the mid-July pace. That helps explain why crude has not maintained the full geopo...
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.