General Comments The December 2012 corn contract may be forming a double bottom at $7.39. If this contract closes out the week strong tomorrow, then a temporary bottom may be established. Prices could then look to define the upper end of a price range, perhaps $7.40-8.10, in which to spend the next few months.A stronger basis in the Gulf suggests that current U.S. corn prices are attracting the attention of the export market. This season farmers have been increasingly concerned about aflatoxin, so it is probably incorrect to attribute that strong basis to lack of farmer selling. Eventually, higher basis may be necessary to pry sufficient amounts of corn away from farmers, but that probably is not yet the situation because there is still...
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
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.