It goes without saying that USDA's monthly WASDE is a strong common thread that grain and soy markets face. Death and taxes may be inevitable, but so too are the WASDEs. Each month markets anticipate, often with considerable caution, USDA's latest forecasts of U.S. and world crop production and supply/demand balances. The tighter supply/demand balances appear to be, the greater the degree of caution. On the days preceding the release of each WASDE, markets trade their expectations of what it will show. Immediately after each WASDE release, markets trade on the accuracy of pre-release expectations and particularly on any big surprises it might contain.Production of wheat, corn and oilseeds in the Southern Hemisphere has gradually but inevi...
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.