GOOD MORNING, The USDA report sent prices sharply higher yesterday and the market will need a few days to digest the numbers. Charts did a sharp U-turn from Tuesday morning lows with recent shorts covering on the back of bullish numbers. New money was noted coming into December corn and November beans, setting off outside days closing higher which typically finds follow-through, as it is this morning. The worries over drought in the western states are magnified given the lower total acreage numbers. Western states account for around 23% of bean acreage and almost 20% of corn. Bottom line is that the US needs good weather for July and August with near or above beginning trendline yields. While we may get...
What You Need to Know Today: Commodities were mostly lower across the board today after yesterday’s Federal Reserve meeting hinted at a potential interest rate hike later in 2026. The dollar index reached its highest level in over a year, and a strong dollar makes U.S. agricultural expor...
Tomorrow is the Juneteenth federal holiday, and the USDA, along with the rest of the federal government and the CME, will be closed, so the monthly Cattle on Feed report was released a day early. The total number of cattle on feed in feedlots with 1,000 head or more capacity on 1 June amounted...
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.