Overall, the Argentine wheat market is still depressed because of government policies. The only effective way to reactivate exports is to open the full quota. Soybeans We have recently been informed that the Brazilian soybean market is acting a bit heavy in the spot market. Demand seems to have recently weakened because of negative crush margins in China that resulted primarily from weaker demand for meal. Yet, China has received a total of 7 MMT in February from the U.S. and Brazil. Several Chinese buyers are now trying to defer future shipments and even cancel boats. This is a key factor that is putting pressure on the spot shipments. Currently, there are several sellers in the South American markets offering early harvested soybeans wi...
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...
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.