CBOT markets featured much of the same position-evening, range-bound pattern they have for most of this week. Wheat futures bounced off technical support and moved higher in what was the most interesting development for the day. There is little interest in adding to/subtracting from positions ahead of the January WASDE, and funds are thought to be net short 8-10,000 contracts of soybeans, short 20,000 contracts of soymeal, and 85-95,000 contracts of corn. The fund long position in soyoil is near 100,000 contracts, making that market vulnerable to corrections, while managed money also holds 20,000 contracts of a long wheat position (that is potentially growing). China noted this morning that it would be suspending its national ethanol...
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
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.