Some of the bearish pressure on the market is said to be coming from the uncertainties associated with COVID-19, though there are now more knowns than a few weeks ago. One known known is that low or negative interest rates from the Fed will not address unemployment in sectors that are intentionally shut down by the government for being non-essential. Also known is that any recovery involves a boost in gasoline use and thus ethanol, which is already occurring as states open up. Even more un-bearish is the fact that mass transit will remain perceived as unsafe and this even more ethanol sucking by automobiles. The weather is mostly fine, and that is bearish. By this Sunday, 80 percent of the U.S. corn crop will be planted and 60 percen...
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.