Recent market analysis has placed much focus on fundamental conditions in the U.S. and how supply-side factors may shape the markets this year. Given the extreme weather across the Midwest in 2019 (although this has perhaps run its course), the focus has been rightly justified. Consequently, it’s time to step back and once again look at the big picture. This analysis looks at U.S. and global prices, which are likely to move supply and demand factors going forward. Corn U.S. cash corn prices jumped sharply higher this spring as the late planting threatened acreage and production prospects. Notably, the eastern Corn Belt was hardest hit by the poor weather, evidenced by the 40-cent premium that corn prices in the Great Lakes region ho...
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...