This year has seen higher commodity prices spiked by tighter ending stocks for some key commodities. However, reductions unique to this year relative to the past half-dozen are limited to just corn and palm oil. Palm oil hit a contract high this week and corn last week, though the latter is now down more than 12 percent since its peak based on trading this week. Rapeseed oil stocks are down the most from their peak in 2016, but they were lower in 2018 and 2019 than this year. Sugar stocks are 19 percent lower than in 2017, but not as low as they went in 2016 and 2017. Neither soyoil, soybeans, rice or sugar are currently as low in surplus carryover as they have been in other recent years. However, this may be a unique period for so m...
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
Forecasting developments in production agriculture
On behalf of a private U.S. agricultural technology provider, WPI’s team generated an econometric model to forecast the movement of concentrated corn production north and west from the traditional U.S. Corn Belt. WPI’s model has subsequently provided quantitative support to a multi-million-dollar investment into short-season corn variety development. WPI’s methodology included a series of interviews with regional grain elevators and seed consultants. Emphasizing outreach and communication with stakeholders who possess intimate sectoral knowledge – on-the-ground insights – is a regular component of WPI’s methodologies, made possible by WPI’s ever-growing network of industry contacts.