Grain and soy futures markets are currently juggling a number of important “balls in the air.” One might say this is always true, and it is. Out of the current array being juggled, however, some rank very high on the scale of importance. - Most obvious of these is the U.S.-Chinese trade dispute and this week’s cabinet-level negotiations in search of some sort of resolution. The ultimate outcome of these talks will affect U.S. agricultural trade for many years to come. Details from the meeting thus far are very sparse. China has apparently offered to buy a large amount of U.S. agricultural and energy products as well as ease the way for more U.S. investment in its manufacturing and financial sectors. This is a long wa...
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.
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...