GOOD MORNING, Prices are lower in the overnight session on yesterday's weaker close, weak macro markets, better rains in South America, more forecasts for stabilizing production, and higher acreage estimates as the US begins its planting season. Corn acreage was sharply higher as farmers responded to better prices, as the Markit group forecast nearly 3 million more acres this year. US wheat Associates forecast total US winter wheat planted areas to increase in 2021 from 2020 due to producers taking advantage of stronger prices and dry seeding conditions. USDA's 21/22 winter wheat seedings reported US farmers would plant 32.0 mln acres of winter wheat for harvest in 2021, up 5% from the prev. year. Beans sink...
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
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.