There were no trades on the Argentine soybean market last week, but offers remained around 40sX for September FOB and traded just today at +44sX FOB. Local prices moved in accordance with two factors, and exports are showing better margins thus far than domestic crushing. Soybeans Brazil The past weeks’ rally continued in the spot positions, moving all the basis upward in Brazil and, consequently, in U.S. Gulf. The drop of CBOT due to rains in the U.S. also drove basis up, but this was helped as well by the lack of offers from Brazilian farmers. The real remains very strong (3.12), making prices unattractive to them. On the other hand, Chinese demand still needs to buy large quantities of September soybeans and is becoming nervous with t...
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.