The market was called mixed at the open, and it followed suit. There is rising open interest, some rising prices, but volume was unremarkable except in wheat, where people are trying to get out, or lean hogs where the goal is to get in. Profit-taking in sideways market results in chop. The export sale of nearly 9 MMT in U.S. commodities last week, including a record amount of corn, was not enough to feed the bull. The corn pit sniffed a 300 percent jump in export sales from the week before and sent the price lower. Wheat likely deserved the losses to stay competitive and soyoil continued to pull soybeans higher. There is concern about the rising value of the dollar, up 2.25 percent in a month while the euro has fallen 2...
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.