The CBOT continued its strength on Wednesday, buoyed largely by rising Russian/Ukrainian FOB wheat prices and continued strength in the Brazilian real. Despite improving weather for Europe and the Black Sea region, the market remains concerned about Black Sea supplies, especially after Ukrainian officials cut their estimate of the country’s wheat production. Interior Russian prices are above the export market, suggesting early season exports could be slow and small. Funds were net buyers of soybeans, soymeal, and wheat, while selling soyoil and remaining basically flat corn. The U.S. weather forecast for the coming 10 days features modest dryness across the Central Plains and Iowa while a storm pushing up from the Gulf will send rain...
From WPI Consulting
Forecasting developments in production agriculture
On behalf of a private U.S. agricultural technology provider, WPI’s team generated an econometric model to forecast the movement of concentrated corn production north and west from the traditional U.S. Corn Belt. WPI’s model has subsequently provided quantitative support to a multi-million-dollar investment into short-season corn variety development. WPI’s methodology included a series of interviews with regional grain elevators and seed consultants. Emphasizing outreach and communication with stakeholders who possess intimate sectoral knowledge – on-the-ground insights – is a regular component of WPI’s methodologies, made possible by WPI’s ever-growing network of industry contacts.