The war in Ukraine, which has found Russia increasingly desperate and increasingly targeting civilians as the Ukrainian resistance stalls progress, continues to drive world grain and oilseed markets. That caused the CBOT to open sharply higher Sunday night and also sparked a rally to $130/barrel in WTI crude oil. Despite the war’s influence, however, this week is seeing the CBOT, soybeans and corn in particular, reposition to trade the March WASDE report that will come out on Wednesday. The pre-WASDE positioning trade left soybeans and corn to essentially drift sideways after two-sided trade while soyoil gained on meal via spread trade. Wheat futures ended sharply higher with the May CBOT contract settling at its limit-bid for...
What You Need to Know Today: There has already been a strong run of flash soybean sales announcements in recent weeks, but more than 1.4 MMT reported this morning is an exceptionally large single-day total with major implications for the market. If the sales to China and unknown destinations w...
On Friday, at 6:57 AM, President Donald Trump announced, via a social media post, a 90-day window during which up to 300,000 metric tons of product for ground beef could be imported outside of tariff-rate quotas—a move aimed at bringing down costs for American consumers. This is the secon...
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.