The CBOT saw mixed trade on Wednesday as the grain markets (corn and wheat) failed to follow through on Tuesday’s reversal and instead either sank lower or ended essentially unchanged while the soy complex continued Tuesday’s show of strength. Soymeal was the upside leader in the soy complex with basis levels rising and domestic demand picking up after markets hit multi-month lows earlier this week. That helped pull soybeans higher as well, along with a rally in Brazilian FOB basis offers. Corn saw listless trade that resulted in fractional changes for the day while wheat pulled back in technically benign days on the charts. Funds emerged as net sellers in grains again but continued to pare back shorts in the soy complex. ...
What You Need to Know Today: The hot, dry weather forecast continues to drive strength in grain futures with corn and soybeans hitting another day of strong gains. Monday’s Crop Progress and Conditions data were in line with market expectations and showed relatively few concerns for the...
Yesterday we wrote about the Q1 GDP numbers and the June employment reports in an article entitled Real GDP for Q1 Relying on AI Buildout, Held Back by Consumer Spending. That article mentioned that consumer spending had become a drag on GDP. Nonetheless, real GDP in Q1 was revised upward to 2...
Key Takeaways: The Middle East and North Africa's arid climate and limited water resources have created a structural dependence on imported wheat. Government wheat tenders in major importing countries serve as important benchmarks for global trade, providing insight into exporter competitivene...
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.