Oilseeds Soymeal Inventory Climbs Higher Ahead of Tariffs Continuing the trend that began in the second week of June, China’s crushing companies steadily increased their soybean stockpiles through the first week of July. With China’s retaliatory tariff on U.S. soybeans going into effect on 6 July, those companies as well as traders have taken advantage of declining prices on imported soybeans to stockpile reserves for what is expected to be a protracted tit-for-tat fight. China’s estimated nationwide soymeal inventory stood at slight over 1.27 MMT at the end of last week, an increase of 33,000 MT (+2.7 percent) from the end of June that, equally important, marked five consecutive weeks of gains. The total was also up 147...
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.