The Federal Reserve Open Market Committee is meeting today and tomorrow, where it will revise its latest economic forecasts for the year and release its plan for short term interest rates. At the June meeting of the Fed, the median forecast among the 17 Fed policymakers was that inflation would be 0.8 percent in 2020. Given the economic recovery to date and the growth in government spending, that will no doubt be too low. Also, in June the Fed’s projection of inflation in 2021 and 2022 was 1.6 percent and 1.7 percent. From the growth perspective, according to the data from the Atlanta Federal Reserve Bank, Q3 growth could be near 30 percent. Economic reports so far show that consumer spending is outpacing productio...
What You Need to Know Today: Russia rejected calls for a ceasefire in the Black Sea, including a proposal to halt attacks on civilian shipping that could help restore grain flows from Ukrainian ports. Tyson Foods announced plans to permanently close its Joslin, Illinois, beef processing facili...
The big news in the cattle markets yesterday was Tyson Foods’ move to close two more beef plants. One of them, the Joslin, Illinois, plant was shuttered immediately after the announcement. The other, in Eagle Mountain, Utah, is a case-ready plant that does not slaughter cattle. Tyson also...
The Bureau of Labor Statistics (BLS) released the Consumer Price Index (CPI) on Wednesday. In July, the CPI rose 0.1 percent, seasonally adjusted, and rose 3.4 percent over the last 12 months, not seasonally adjusted. The index for all items less food and energy, or the “core” infla...
From WPI Consulting
Forecasting developments in production agriculture
On behalf of a private U.S. agricultural technology provider, WPI’s team generated an econometric model to forecast the movement of concentrated corn production north and west from the traditional U.S. Corn Belt. WPI’s model has subsequently provided quantitative support to a multi-million-dollar investment into short-season corn variety development. WPI’s methodology included a series of interviews with regional grain elevators and seed consultants. Emphasizing outreach and communication with stakeholders who possess intimate sectoral knowledge – on-the-ground insights – is a regular component of WPI’s methodologies, made possible by WPI’s ever-growing network of industry contacts.