Thanks to USDA’s effort to project the effect of the Chinese tariffs on the U.S. soybean supply/demand for 2017/18 and 2018/19 as well as the expected weather-related production changes for various export competitors, this was easily the most anticipated July WASDE in many years. The trade expected the report’s tone to generally be bearish, but the estimates and projections were mixed in terms of market impact. Given the tariff situation, the outlook for soybeans could hardly avoid being bearish with the inevitable projections for a big crop, lower exports and a big jump in ending stocks. On balance, however, the WASDE appeared to be neutral on grains to pessimistic observers and at least somewhat bullish to those more optimisti...
Markets are caught between reasons to keep selling and reasons to take another look. Fund liquidation and renewed peace talks are pressuring grains, while fresh export business and some diesel relief offer encouragement. Corn recovered nearly 10 cents from its low to finish higher, while soybea...
Key Takeaways: President Trump announced $8 billion in additional agricultural assistance through the Harvest Fuel Relief Program, as USDA projects farm fuel and oil expenses will increase 28.8 percent in 2026. The package follows $12 billion in earlier relief, while government farm payments w...
Key Takeaways: A student group from the University of Chicago is protesting to bring back onion futures trading. Trading in onion futures was banned in 1958 following a spectacular bout of market manipulation that resulted in a corner of the physical market. The ban on onion futures led t...
From WPI Consulting
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.