The CBOT was, once again, mostly lower to end a week of strong selling as fund liquidation and speculative short selling continued. There was little fresh fundamental news for the day - and what bullish news developed for the wheat market was mostly ignored – which left the market to continue its trend lower. For the week, KC wheat and soybeans posted the largest percentage losses and all the major markets plowed through varying technical support levels. The Wheat Quality Tour pegged the Kansas HRW yield at just 30.0 BPA – the lowest yield since at least 2000 but up slightly from USDA’s May forecast of 29 BPA. The Tour’s five-year average yield for Kansas is 45.6 BPA and the total production from Kansas for 20...
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.