Overnight trading was mostly lower on technical trades, the fact that short covering seems to have ended for the week, and a new trade war. The president announced late Thursday that the U.S. would apply a 5 percent tariff on goods imported from Mexico, which will be gradually increased to 25 percent until illegal immigration across the southern border is sufficiently curbed. This creates the opportunity for retaliatory tariffs by the country that happens to be the largest importer of U.S. corn. The U.S. now has escalating or potentially escalating trade wars with its biggest purchasers of corn and soybeans. This is hardly a positive development for crop demand. The day session opened with continued soybean short covering and the unwinding...
What You Need to Know Today: Funds remain in control of the market, which means broadly bearish trade for the ag sector. Monday’s massive corn export sale to Mexico helped trigger some short covering and a bit of other end-user buying in corn, which could help stabilize the market. Wheat...
With less than 24 hours until Election Day, control of the Senate remains a wild card. Republicans and Democrats alike say they are poised to win control of the chamber in the new Congress that starts in January 2027. The House of Representatives is more of a lost cause for continued Republican...
Key Takeaways: U.S. hog and pork prices have declined sharply, with December lean hog futures ending October at $58.875/cwt and the pork cutout reaching its lowest level since January 2021. Seasonal increases in hog slaughter and pork production have contributed to price weakness, although the...
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.