World Perspectives
biofuel energy

Drinking the Kool-Aid

U.S. ethanol production is plunging, and producers are demanding a fix. Some sources say that this week was the lowest ethanol output and highest stocks on record going back to 2010. Ethanol advocate and powerful Senator Chuck Grassley (R-Iowa) is suggesting USDA/CCC funds could be used to stockpile ethanol, noting that the government is currently buying crude oil to store in the Strategic Petroleum Reserve (SPR), easing a glut on the market caused by lower U.S. driving demand and a global oversupply caused by a disagreement between major producers Saudi Arabia and Russia over cuts to oil output. However, there are several issues related to the proposal. For one, ethanol is an additive and without it, the nation’s motor vehicles woul...

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WPI Grain Prices and Freight Rate App Note: you can also visit the app directly by clicking here. Supplemental Information The section below offers a concise view of the options available in the current version of the WPI FOB Price and Freight Rate app, along with a short “How To”...

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Market Commentary: Corn Hits New Lows while Cattle Hit New Highs

Grains markets came under pressure again on Tuesday with USDA’s positive Crop Conditions report Monday evening reassuring traders and analysts of excellent yield prospects for this year. The report was most bearish corn where ratings hit another five-year seasonal high as the crop is silk...

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Dec 25 Corn closed at $4.1425/bushel, down $0.065 from yesterday's close.  Sep 25 Wheat closed at $5.4775/bushel, down $0.0075 from yesterday's close.  Nov 25 Soybeans closed at $10.175/bushel, down $0.0325 from yesterday's close.  Dec 25 Soymeal closed at $284.3/short ton, down...

FOB Prices and Freight Rates App (Updated 9 July)

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feed-grains soy-oilseeds wheat

Market Commentary: Corn Hits New Lows while Cattle Hit New Highs

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feed-grains soy-oilseeds wheat

Summary of Futures

Dec 25 Corn closed at $4.1425/bushel, down $0.065 from yesterday's close.  Sep 25 Wheat closed at $5.4775/bushel, down $0.0075 from yesterday's close.  Nov 25 Soybeans closed at $10.175/bushel, down $0.0325 from yesterday's close.  Dec 25 Soymeal closed at $284.3/short ton, down...

Tariffs and Geopolitics

Reactions to U.S. President Donald Trump and his trade policies are notably different for each country and are evolving. A Pew survey shows that 59 percent of Canadians see the U.S. as the “greatest threat” to the Great White North. However, most Americans do not really think about...

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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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