World Perspectives
livestock

Cattle on Feed Report: Record February Placements

USDA released the monthly Cattle on Feed report today. As has been the case more often than not since mid-2023, actual placements have exceeded the pre-report estimates. 

Coming into today’s report the consensus estimate among analysts was for placements to be 106 percent of last year’s total. As WPI wrote yesterday, weather last year was expected to have an impact. Weather conditions kept a lid on February 2023 placements, and 2024 January weather led to fewer cattle being placed, deferring them into February. As WPI wrote after the 1 February Cattle on Feed report, as January’s “wet and muddy conditions have improved, it is likely that February placements have rebounded.” And rebound they did. Actual...

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Market Commentary: Fundamentals in the Backseat; Conflict Impacts Driving Markets

Four days into the U.S.-Iran conflict, it is becoming apparent that the conflict will last longer than a few days, and impacts could be more widespread than expected. That sentiment drove macroeconomic and commodity futures markets on Tuesday, which meant risk-off trading in the macro sector an...

Schumer Planning a Bill to Force Divestiture in Meat Industry

Senate Minority Leader Chuck Schumer (D-N.Y.) is currently seeking co-sponsors for a bill he will introduce as early as Thursday of this week, the Family Grocer and Farmer Relief Act. The plan promises to “break up dominant meatpackers, rein in foreign-controlled corporate giants, and use...

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Summary of Futures

May 26 Corn closed at $4.465/bushel, up $0.0075 from yesterday's close.  May 26 Wheat closed at $5.74/bushel, down $0.0325 from yesterday's close.  May 26 Soybeans closed at $11.705/bushel, up $0.065 from yesterday's close.  May 26 Soymeal closed at $314.7/short ton, up $1.8 from...

feed-grains soy-oilseeds wheat

Market Commentary: Fundamentals in the Backseat; Conflict Impacts Driving Markets

Four days into the U.S.-Iran conflict, it is becoming apparent that the conflict will last longer than a few days, and impacts could be more widespread than expected. That sentiment drove macroeconomic and commodity futures markets on Tuesday, which meant risk-off trading in the macro sector an...

Schumer Planning a Bill to Force Divestiture in Meat Industry

Senate Minority Leader Chuck Schumer (D-N.Y.) is currently seeking co-sponsors for a bill he will introduce as early as Thursday of this week, the Family Grocer and Farmer Relief Act. The plan promises to “break up dominant meatpackers, rein in foreign-controlled corporate giants, and use...

feed-grains soy-oilseeds wheat

Summary of Futures

May 26 Corn closed at $4.465/bushel, up $0.0075 from yesterday's close.  May 26 Wheat closed at $5.74/bushel, down $0.0325 from yesterday's close.  May 26 Soybeans closed at $11.705/bushel, up $0.065 from yesterday's close.  May 26 Soymeal closed at $314.7/short ton, up $1.8 from...

livestock

Livestock Industry Margins

Beef packer margins improved sharply last week but remained deeply negative, with estimated net losses narrowing to -$206/head from the prior week’s extreme levels. The recovery was driven by a stronger boxed beef cutout, which rose to $371.62/cwt, while fed cattle prices moved lower on t...

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From WPI Consulting

Weighing in on strategic realignment

WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.

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