General Comments After relatively dull overnight trading that mostly featured more unwinding of old/new crop spreads but little by way of price direction, the day session today was anything but dull. In fact, we would call the day session interesting and maybe even enlightening. Futures prices got off to a mixed start this morning, but they soon began to rally led by corn. The corn market was first responding to USDA's report that 360,000 MT of 2013/14 corn was sold to China and another 180,000 MT of 2013/14 corn was sold to unknown destinations.Sales of 540,000 MT after a dearth of export activity seemed to surprise the market even though China has appeared as a buyer before whenever CME December corn hits $5.30 or thereabouts. If we ad...
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.