GOOD MORNING, The markets continue to adjust into Friday's WASDE report, which is typically not a market maker. Prices are mostly firm this morning proceeding still with an air of caution. On the bear side for beans are China's crushing margins, which are weaker, and slows demand for SA beans. Brazil's bean prices remain at a deep discount vs. US. Countering that are strong US processor bids for crush, with domestic bean basis firmer. What to expect from the April WASDE due out at 11:00 central time on Friday? Expectations of tighter ending stocks for 20/21 support May bean futures. Bean futures continue to also take a cue from firm soyoil trade. Beans are supported by soyo...
What You Need to Know Today: Cattle futures extended their sharp selloff Friday as weakening cash cattle prices, deteriorating feedlot profitability, and reduced packer demand continued to weigh on the market. The inability of futures to sustain a rally following last week's bullish Cattle on...
As predicted, the Federal Reserve held rates steady at the last meeting before the midterm elections, likely in part because of the election (see WPI 19 October and 22 September). The decision comes at the tail end of a midterm election cycle that has been marked by the two parties campaigning...
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.