GOOD MORNING, Volatility continues to play out in the macro markets as uncertainty leads the Fed to implement an emergency meeting to lower rates, one of only 4 or so in history, the last being the 2008 financial crisis. The weaker US dollar and Fed rate cuts remains a positive behind the rising Ag prices. Funds purchased 7K contracts of beans, 4K meal, and 2K soyoil on Tuesday, in a day that closed out in constructive chart terms. We are getting "follow-through" today (Wednesday) in the soy complex, mixed so far in grains. Soyoil is the star of the morning, sharply higher on the back of palm oil prices. In terms of new business, South Korea stepped in to buy US wheat as the price dropped and a weaker...
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.