That sound you heard today around Noon Eastern Time was the market trying to digest USDA’s decision to triple China’s corn ending stocks. Earlier this week, China said it was revising its production figure higher, and USDA decided boosting the stocks number would be fun too. The net effect of USDA’s move is that world corn ending stocks are up 93 percent (yes, that’s the right number) from last month. Notably, that figure is still down 10 percent from 2017/18. More details on the WASDE’s impacts/implications are listed below and will be further discussed in future WPI articles. Wall Street closed mixed with the Dow is up slightly and the S&P 500 down fractionally. The U.S. dollar finished a modest 1...
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
Forecasting developments in production agriculture
On behalf of a private U.S. agricultural technology provider, WPI’s team generated an econometric model to forecast the movement of concentrated corn production north and west from the traditional U.S. Corn Belt. WPI’s model has subsequently provided quantitative support to a multi-million-dollar investment into short-season corn variety development. WPI’s methodology included a series of interviews with regional grain elevators and seed consultants. Emphasizing outreach and communication with stakeholders who possess intimate sectoral knowledge – on-the-ground insights – is a regular component of WPI’s methodologies, made possible by WPI’s ever-growing network of industry contacts.