Funds were active buyers again today. The ethanol situation grabbed the headlines, but there were a few other bullish straws in the wind to help support those who argue that agricultural commodities have again become a place to put speculative money. General Comments Yesterday’s ethanol-inspired rally had calmed some by the close, but the White House’s denial that changes in the Renewable Fuel Standard (RFS) point of obligation in exchange for approval of using E15 the entire year were in the works has not taken the possibility of a potential adjustment off the board. Confusion as to what is really going on abounds, and today’s price gains were definitely related to the theory that “where there is smoke, there is fire.” It has been taken...
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
Infrastructure investment due diligence
On behalf of a Canadian oilseed processer WPI's team provided market analysis, econometric modeling and financial due diligence in support of a $24 million-dollar investment in a Ukrainian crush plant. Consistent with WPI's findings, local production to supply the plant and the facility's output have expanded exponentially since the investment. WPI has conducted parallel work on behalf of U.S., South American and European clients, both private and public, in the agri-food space.