Despite the very high weekly corn crop condition ratings that persist even though they should begin a seasonal drop, there appears to be widespread skepticism about USDA’s extraordinary yield estimate.USDA’s August WASDE is quite literally one for the record books. 2016/17 U.S. corn and soybean production were both forecast to be record large and the U.S. all wheat crop the largest in eight years. The estimated national average yields for all three crops would also set new records, if realized. The estimated corn yield of 175.1 bushels/acre would obliterate the old record of 171 bushels/acre set in 2014/15. Other record estimates for 2016/17 in the WASDE include those for world wheat production and ending stocks, world ending corn stocks an...
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.