The Federal Open Market Committee (FOMC) will meet this week; interest rates were last raised in July 2023, and during Q4 when rates were held steady markets were hopeful that was a signal that a rate cut would be coming in 2024.
Right now, however, the Federal Funds Futures market is predicting a 99 percent chance that at the next meeting rates will remain where they are, at an effective rate of 5.33 percent and a 97 percent chance that they will be held steady at the FMOC May meeting. It is not until June that there is a 56 percent chance of a rate cut. Inflation ticked up in December 2023 to 3.4 percent and has remained “sticky” at 3.1 percent in January and 3.2 percent in February. Moreover, February&rs...
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...