World Perspectives
livestock

Hogs and Pigs Preview

USDA will release the quarterly Hogs and Pigs report tomorrow. All hogs and pigs as of 1 June are expected to be down 0.7 percent from last year to 72.641 million head, which would be the lowest quarterly inventory since 2018.   

Analysts’ forecasts are for the totals to come in slightly below last year’s levels across most categories, with only sows kept for breeding and market hogs 180 pounds or more dropping more than 1 percent.  

If accurate, the breeding herd estimate would imply the lowest number for June since 2017. March to May farrowings are forecast at 98.6 percent of last year, and June to August farrowing intentions are forecast at 99.4 percent of last year. The pig crop in March to May is...

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livestock

Livestock Industry Margins

Beef packer margins reversed sharply to -$17/head from $120/head the prior week, as rising fed cattle prices more than offset a modest decline in the Choice cutout. Fed cattle prices increased $12.92/cwt from the prior week while the cutout slipped $3.24/cwt, compressing gross margins and pushi...

feed-grains soy-oilseeds wheat

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Under the theory of economies of scale, the size of farms, like that of all industries, should increase over time due to improvements in productivity. Farmers themselves understand that the more land they farm, the greater their output and, thus, the larger their potential incomes. Government p...

feed-grains soy-oilseeds wheat

Summary of Futures

May 26 Corn closed at $4.54/bushel, up $0.0175 from yesterday's close.  May 26 Wheat closed at $5.9525/bushel, down $0.03 from yesterday's close.  May 26 Soybeans closed at $11.6675/bushel, up $0.0325 from yesterday's close.  May 26 Soymeal closed at $316.6/short ton, up $1.4 fro...

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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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