The spring rally in the soy complex, which dragged corn and wheat along, fit nicely into the La Nina weather scenario. Funds were very early to jump on that and reversed positions in corn and soybeans to long positions. Weather forecasts and patterns change, however.Corn and soybean markets have been somewhat obsessed by the prospects for a hot, dry North American growing season ever since a private weather group predicted $7 corn futures at a grower meeting in Chicago last December. That forecast was based on the assumption of a quick weather transition from the record El Nino of last winter to a La Nina. Historically, there has been a very strong correlation between such a transition and adverse crop production weather across the Corn Bel...
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
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.