The CBOT started higher overnight with Argentine dryness supporting trade. The day session saw prices try to continue the rally, only to run into heavy fund liquidation and short selling pressure. Large deliveries against KC wheat futures pressured the wheat market and pulled corn lower as well. Trade became more technical as the day went on, with sell-stops being triggered as the market passed key support levels. Despite Monday’s weak trade, most markets are nestled near support levels, which may bring stability to this week’s trade. Funds are thought to have sold 15,000 contracts of corn today, along with 8,000 contracts of wheat, and 5,000 contracts of soybeans. The CBOT recorded heavy deliveries against the March KC w...
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
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.