The CBOT waivered again on Tuesday with corn and wheat posting losses for the day while soybeans firmed once again. News that China is likely to soon approve an agreement on phytosanitary conditions to import corn from Brazil put corn on the defensive for the day. Moreover, corn and wheat both broke below last week’s lows and/or technical support, which further contributed to the day’s selling. Early weakness in U.S. equities and other macro-markets also kept the CBOT on the defensive with traders liquidating some positions ahead of the coming three-day weekend. Bear grain/soy spreading was again popular, though volumes were quiet overall as traders are largely in “wait and see” mode. For the day, funds are th...
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.