World Perspectives
feed-grains softs

Devaluation Game; Tangled Sweetener Web

The U.S. sugar price is artificially held so high that the product is being smuggled across the border, and now it's politically-created distortions are threatening the Trans-Pacific Partnership (TPP) and high fructose corn syrup (HFCS). Devaluation Game China declared that its change in exchange rate policy, allowing the renminbi (RMB) to adjust based on the prior day's forex market, is an effort to be more market-based. Defenders say it is an effort by China to hush critics of the country's exchange rate policy. However, the RMB is still framed in by a trading band, and others note that it is more likely to be Beijing rushing into the "devaluation game" since the economy has softened.China's currency policy has proved malleable over tim...

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feed-grains soy-oilseeds wheat

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feed-grains soy-oilseeds wheat

Market Commentary: Ags Sink on Risk-Off Day Despite Weaker Dollar

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Summary of Futures

May 25 Corn closed at $4.8175/bushel, down $0.005 from yesterday's close.  May 25 Wheat closed at $5.385/bushel, down $0.1025 from yesterday's close.  May 25 Soybeans closed at $10.295/bushel, down $0.07 from yesterday's close.  May 25 Soymeal closed at $292.9/short ton, down $2...

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Middle East, Mediterranean, and Africa Regional Analysis

Mediterranean/Middle East/North Africa/Africa – MEA Region Iraq has confirmed that it will not need to import as much wheat in 2024/25 as it expects to see purchases of local wheat at 4.5 MMT while current stocks of wheat are at 2.8 MMT. Overall wheat production could reach 6.0 MMT. Press...

feed-grains soy-oilseeds wheat

Market Commentary: Ags Sink on Risk-Off Day Despite Weaker Dollar

The CBOT was higher overnight as the U.S. dollar fell to a three-year low, but the day session saw the major ag market slip lower and end in the red with pressure from macroeconomic markets increasing. In addition to sparking trade wars with nearly every major U.S. trading partner, U.S. Preside...

feed-grains soy-oilseeds wheat

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Barriers are Good; Squeezed in the Trade War; Calculating the Impacts; Tax is a Tax

Barriers are Good The issue de jour is tariffs. Donald Trump is vilified by conventionalists for the self-induced wound of raising this single barrier to business. As a businessman, Trump sees a complex web of market barriers. Domestic regulations, domestic taxes, but also foreign tariffs (taxe...

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From WPI Consulting

Infrastructure investment due diligence

On behalf of a Canadian oilseed processer WPI's team provided market analysis, econometric modeling and financial due diligence in support of a $24 million-dollar investment in a Ukrainian crush plant. Consistent with WPI's findings, local production to supply the plant and the facility's output have expanded exponentially since the investment. WPI has conducted parallel work on behalf of U.S., South American and European clients, both private and public, in the agri-food space.

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