The bull market in Chicago continues with no end in sight. Each day that affirms excessively dry weather in South America coupled with signals of strong Chinese demand looks to drain down available stocks. From a technical standpoint, the momentum of recent price gains signals the market being overbought. The caution is that because of the human element, pricing tends to overshoot both to the lower and higher levels. Corrections can also involve oversold conditions. At present, soybeans have hit an important psychological level and corn is not far behind. The last time soybeans went over $14/bushel was in 2014 and the last time corn exceeded $5/bushel was in 2013. Beans in the teens is a cute market comment but it is also a significant thr...
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...
Key Market Insights Geopolitical Limbo: Geopolitical risk remained a key driver across global commodity markets today. President Trump stated that the Iran memorandum of understanding is not yet final and warned that military action could resume if negotiations fail. Both sides continue w...
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.