Improved performance in the Brazilian ports has helped reduce the inverse in soybean contracts that has declined to about half the level it was in December and January.To the surprise of many traders, logistics in Brazil have started off this season better than expected. This is good news for those exporters who have arranged to load at the beginning of the shipment period. The situation has also contributed to the recent interest in switching some origins from the United States to Brazil. Another reason for that interest is the logistical delays to the U.S. Gulf and the Pacific Northwest ports due to bad weather. It is interesting to note that the picture was the exact opposite last season with U.S. shipping additional soybeans in February...
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.
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...
Monday, 25 May is a U.S. holiday, and both the markets and our office will be closed. Please note that the next issue of Ag Perspectives will be published on Tuesday, 26 May. The WPI staff wishes everyone a safe and enjoyable holiday weekend...
USDA’s monthly cattle on feed report was released today. The total number of cattle on feed in feedlots with 1,000 head or more capacity amounted to 11.6 million head, 102 percent of last year. Source: USDA, WPI Placements were up, but part of that is attributable to persistent drought c...