Here’s a short wrap up perspective after a week with lots of drama. In sum, the final results of Tuesday’s election are not in yet and the party control of Congress is undetermined and thus the policy path forward unclear. The November WASDE, while it was in line with expectations, still showed historically tight stocks of grains and oilseeds, not to mention forecasting a historical drop in beef production into next year (at 7.3 percent, the largest since 1979) and continuing tight hog supplies, all inflationary, especially when added to energy prices. The inflation report showed the annualized CPI is 7.7 percent, which notwithstanding February through September of 2022 is the highest since February 1982. Nonetheles...
What You Need to Know Today: There has already been a strong run of flash soybean sales announcements in recent weeks, but more than 1.4 MMT reported this morning is an exceptionally large single-day total with major implications for the market. If the sales to China and unknown destinations w...
On Friday, at 6:57 AM, President Donald Trump announced, via a social media post, a 90-day window during which up to 300,000 metric tons of product for ground beef could be imported outside of tariff-rate quotas—a move aimed at bringing down costs for American consumers. This is the secon...
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.