GOOD MORNING, Overnight prices were mostly in the green with wheat leading the way higher as the market continues to digest the USDA numbers from last Thursday's report. The bullish numbers sent prices to the upside of recent ranges as the yields were less than expected, particularly for corn. Forecasted rains could now be adding to yields for beans, where the USDA's official report was 50.0 bpa and corn at 174.6 bpa. Seasonally, prices have a tendency to trend higher after the August numbers, which certainly seems to be the case today. Given recent volatility, traders were waiting to see what the numbers offered before jumping in and now adding risk. The yield debate will continue into the September report, w...
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.