World Perspectives
feed-grains soy-oilseeds wheat

Market Commentary

The CBOT opened with a defensive tone as position liquidation/short selling continued in the soybean pit and as traders exited largely profitable wheat positions. Some buy corn/sell soybeans or wheat trade existed early in the day, but corn eventually fell lower under widespread selling and position liquidation. The coronavirus is rapidly spreading in China and is heightening market nerves around the world. Markets hate uncertainty, and the CBOT ag markets are particularly sensitive to this outbreak due to the still-uncertain effects of the U.S.-China Phase One trade deal.  The weekly Export Sales report from USDA held a friendly tone for ag commodities – including an impressive (for MY 2019/20, at least) sales volume for corn...

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feed-grains soy-oilseeds wheat

European Market Analysis

Regional News Eastern Ukraine and southern Russia remain unseasonably warm and dry, though the regions received beneficial rains at the end of last week. The Balkans saw unusually heavy rainfall from the same storm system. Polish protesters are planning on blocking the border with Ukr...

feed-grains soy-oilseeds wheat

CFTC COT Report Analysis

Once again, the major finding of Friday’s CFTC report is that funds still remain solidly bullish corn and added another 7 percent to their long position in that market. That was particularly impressive as the week ending 19 November (the reporting deadline for the CFTC report) included days wit...

feed-grains soy-oilseeds wheat

Market Commentary: Black Sea Instability and Trade War Influences

There were some jitters this week as Russia and Ukraine stepped up assaults ahead of what may become talks to end the conflict. Alongside concerns about a kinetic war is the uncertainty around the incoming Trump Administration’s aggressions in trade policy.It should be noted that geopolitical u...

feed-grains soy-oilseeds wheat

European Market Analysis

Regional News Eastern Ukraine and southern Russia remain unseasonably warm and dry, though the regions received beneficial rains at the end of last week. The Balkans saw unusually heavy rainfall from the same storm system. Polish protesters are planning on blocking the border with Ukr...

feed-grains soy-oilseeds wheat

CFTC COT Report Analysis

Once again, the major finding of Friday’s CFTC report is that funds still remain solidly bullish corn and added another 7 percent to their long position in that market. That was particularly impressive as the week ending 19 November (the reporting deadline for the CFTC report) included days wit...

feed-grains soy-oilseeds wheat

Market Commentary: Black Sea Instability and Trade War Influences

There were some jitters this week as Russia and Ukraine stepped up assaults ahead of what may become talks to end the conflict. Alongside concerns about a kinetic war is the uncertainty around the incoming Trump Administration’s aggressions in trade policy.It should be noted that geopolitical u...

livestock

Cattle on Feed Report

USDA released the monthly Cattle on Feed report today. Once again, placements surprised to the upside compared to pre-report analysts’ consensus expectations. The total cattle on feed inventory was 11.986 million head, which was slightly above last year’s 11.956 million head. Total feedlot inve...

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From WPI Consulting

Communicating importance of value-added products

Facing increasing pressure to quantify the value of export promotion efforts to investors, a U.S. industry organization retained WPI to develop a quantitative model that better communicated the importance of exports. The resulting model concluded that value-added meat exports contributed $0.45 cents per bushel to the price of corn, increasing support for that sector’s financial support of WPI’s client. In addition to serving the red meat industry with this type of analysis, WPI has generated similar deliverables for the U.S. soybean and poultry/egg industries.

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