General Comments Tomorrow's USDA acreage and stocks reports command attention as they should. However, no matter what the reports say, it will not take markets long to assess and adjust to them. Thereafter, the primary market focus will quickly turn to weather, crop conditions and new crop production prospects. The old crop supply situation and old/new crop inverses will become a sideshow that becomes less important with each passing day. The old crop corn and soybean drama will be headed toward a certain end with the approaching new crop harvest.Open interest in July corn fell nearly 30 percent with the liquidation of 26,000 contracts yesterday and leaving 63,826 contracts to go. July soybean open interest fell to 31,028 contracts, down...
What You Need to Know Today: U.S. weather is getting more attention this week as conditions vary greatly across the western, central, and eastern corn belts, with the different regions battling dryness and too much rain simultaneously. The ProFarmer Crop Tour began today in Indiana and Nebrask...
Key Takeaways: Argentina is on pace for a record corn crop and record exports in the current marketing year, with abundant supplies likely to keep the country highly competitive in global export markets. Argentina’s record exportable surplus is allowing it to offer highly competitive pri...
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.