By the time the September WASDE was released yesterday, the trade’s pre-report consensus had coalesced. It had USDA’s corn estimates accurately pegged and guessed the direction of the changes in USDA’s soybean estimates correctly. However, there was one difference.By the time the September WASDE was released yesterday, the trade’s pre-report consensus had coalesced around thoughts that USDA would slightly lower its 2016/17 U.S. national average yield and production estimates slightly for corn from its August projections and slightly increase those for soybeans. The trade had USDA’s corn estimates accurately pegged as it lowered its yield estimate a slight 0.7 bushels/acre, which reduced its production estimate by 60 million bushels to 15.09...
What You Need to Know Today: Russia rejected calls for a ceasefire in the Black Sea, including a proposal to halt attacks on civilian shipping that could help restore grain flows from Ukrainian ports. Tyson Foods announced plans to permanently close its Joslin, Illinois, beef processing facili...
The big news in the cattle markets yesterday was Tyson Foods’ move to close two more beef plants. One of them, the Joslin, Illinois, plant was shuttered immediately after the announcement. The other, in Eagle Mountain, Utah, is a case-ready plant that does not slaughter cattle. Tyson also...
The Bureau of Labor Statistics (BLS) released the Consumer Price Index (CPI) on Wednesday. In July, the CPI rose 0.1 percent, seasonally adjusted, and rose 3.4 percent over the last 12 months, not seasonally adjusted. The index for all items less food and energy, or the “core” infla...
From WPI Consulting
Communicating importance of value-added products
Facing increasing pressure to quantify the value of export promotion efforts to investors, a U.S. industry organization retained WPI to develop a quantitative model that better communicated the importance of exports. The resulting model concluded that value-added meat exports contributed $0.45 cents per bushel to the price of corn, increasing support for that sector’s financial support of WPI’s client. In addition to serving the red meat industry with this type of analysis, WPI has generated similar deliverables for the U.S. soybean and poultry/egg industries.