World Perspectives
equities

News Impacts on Commodity Volatility

Researchers from Northwestern, Stanford, and the University of Chicago tracked equity market volatility with articles from eleven different newspapers, and they unsurprisingly found that trade policy had no impact on the market prior to the election of Donald Trump (see NBER Working Paper No. 25720). In fact, the researchers’ Equity Volatility Index tracker indicated that news about government policy in general has become more greatly correlated with market volatility since 2017-18. Yet using this same theory and applying it to agricultural commodity futures prices was not as conclusive. As would be expected, commodity prices rose the day that the USMCA was signed and fell the day that President Trump announced higher duties on impor...

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Market Commentary: Wheat Reverses Course; Soyoil Rallies on Possible Tax Extension

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wheat

Bearish Wheat Report, Bullish Foundation

USDA’s May WASDE report was perhaps surprisingly bearish wheat. Futures hit yet more new record lows again today. For the U.S., USDA found higher yields running into lower demand. Globally, the agency sees increasing production even in countries like Russia and China where conditions have...

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From WPI Consulting

Infrastructure investment due diligence

On behalf of a Canadian oilseed processer WPI's team provided market analysis, econometric modeling and financial due diligence in support of a $24 million-dollar investment in a Ukrainian crush plant. Consistent with WPI's findings, local production to supply the plant and the facility's output have expanded exponentially since the investment. WPI has conducted parallel work on behalf of U.S., South American and European clients, both private and public, in the agri-food space.

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