GOOD MORNING, Calls are higher this morning with corn and soyoil posting new contract highs. Funds continue to buy into what is very light farmer selling, given that much has already been sold. Corn sees support from Chinese buying and big announcements yesterday which fueled a technical recovery. Traders are looking for more possible corn and bean announcements today. Soyoil futures trade to new contract highs on fund buying on technical considerations as China's oil stocks continue to fall, and are now down for 15 consecutive weeks. One firm states that this is the tightest situation in China for soyoil since 2016, despite a high crush rate. The big break on the board last week certainly found demand...
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.