The CBOT was mostly higher heading into the WASDE as funds were cautiously covering shorts and paring back risk before the holidays. The WASDE proved to be slightly bullish corn and mostly neutral soybeans and wheat, proving the short-covering trend to have been a good idea. Aside from the WASDE, there was little fresh news for the commodity markets and with the report now past, commodity markets are likely to enter their seasonal holiday lull while keeping a close eye on export demand, which is the major factor driving price action right now. The major theme from the WASDE was for tighter U.S. and global corn stocks on rising demand, and a mostly steady scenario for the wheat market. USDA raised the demand outlook for U.S. wheat exports an...
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.