World Perspectives
feed-grains soy-oilseeds wheat

Market Commentary

General Comments With a barrage of tweets from participants on Pro Farmer's Midwest crop tour commenting on how bad crops look, futures prices had nowhere to go but up. A consensus is building to the effect that corn and soybean yields will be worse than what USDA estimated in its August WASDE. Back on 10 August when the WASDE was released, USDA cut its national average corn yield estimate to 123.4 bushels per acre, and it reduced the soybean yield to 36.1 bushels per acre. At that time, just 11 days ago, USDA's estimated yield reductions were seen as aggressive. Not so today. With the crop tour reporting seeing evidence that yields are even worse than the poor expectations, analysts are busy cutting yield forecasts and trying to figur...

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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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