Grain, soybean and soymeal prices weakened in moderate overnight trading, and that carried over to the day session. In the absence of fresh inputs to direct prices, markets are moving in a very short-term up and down pattern within long established trading ranges. General Comments The Federal Reserve Bank ended its Federal Open Market Committee (FOMC) meeting by leaving the interest rate at near zero, unchanged since December 2008 when the U.S. was plunging into recession. This was as expected. In the statement released after the meeting, however, the Fed seemed to go out of its way to emphasize that a rate increase was very much on the table at the next FOMC meeting in December. It also indicated that it was now less concerned about the...
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
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.