Wheat In the last two weeks, amid drought and sunny, warm weather, Argentina’s wheat harvest moved fast and reached almost 90 percent of the planted area. The crop is still estimated between 21.5 to 22 MMT and could increase if yields in the south exceed their average volume. Since the government determined an “equilibrium volume” of 12.5 MMT of wheat exports for the year, exporters have registered 1.6 MMT in just two days. With this added volume, total declarations hit 11.23 MMT, which represents 90 percent of the exportable surplus. From now until exports reach 100 percent of the “equilibrium volume” exporters can only register with grain that is already bought and against a nominated vessel that will...
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...
Key Market Insights Macro markets delivered a full whipsaw today. Early in the session, crude oil had rallied back above $100/barrel as traders priced renewed concern over the U.S.-Iran standoff and potential supply risk through the Strait of Hormuz. That strength helped pull grains off their o...
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.