World Perspectives
livestock

Cattle on Feed Preview

USDA will release its Cattle on Feed report tomorrow and it could be a record – for the second month in a row. Analysts’ pre-report estimates peg the total number of cattle on feed as of 1 March at 101.1 percent of a year ago, which was the highest March feed lot inventory on record at 12 million head. The range of estimates was between 100.8 and 101.5 percent. The implied inventory of cattle on feed would be 12.13 million head.   Source: Dow Jones, WPI Marketings in February are expected to be 104 percent of last year. Note that there were the same number of weekdays in February 2021 and 2022. Noteworthy is the fact that placements are expected at 102 percent of 2020, which was the month before COVID, implying pac...

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Summary of Futures

Sep 25 Corn closed at $4.0925/bushel, down $0.0225 from yesterday's close.  Sep 25 Wheat closed at $5.3825/bushel, down $0.025 from yesterday's close.  Nov 25 Soybeans closed at $10.27/bushel, up $0.0225 from yesterday's close.  Aug 25 Soymeal closed at $275.8/short ton, up $0.2...

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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.

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