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Market Commentary

General Comments There were two signs of official concern over slowing economies from different parts of the globe today. First, China's Central Bank dropped the key interest rate on one-year loans by 0.31 percent to 6.0 percent. This is the second Chinese interest rate cut in a month. Later the EU's ECB cut its interest rate 0.25 percent to 0.75 percent, the lowest level ever. Both cuts were widely expected as part of efforts to counter the respective slowing economic growth. In that sense, both interest rate cuts are acknowledgement by the respective central banking authorities that there are problems and underlying economic pessimism. The Chairman of the ECB said that Europe's economic recovery would be a slow process. Nearly half of...

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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.

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