The CBOT started the day weaker, but end-users stepped up in the corn market and created enough strength to force a higher close. As such, the corn market looks like it may have formed near-term lows and the odds of sideways trade are increasing. Soybeans attempted to follow the corn market higher but weaker soyoil and soymeal values eroded crush margins and forced the market lower. Wheat futures sagged once again with little bullish news to support the market. Funds were on both sides of the corn market Wednesday and are thought to have been net sellers of some 10,000 contracts. Funds sold 11,000 contracts of wheat and around 5,000 contracts of soybeans. Funds were net sellers of both soyoil and soymeal, selling 4,000-5,000 contract...
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.