The major development at the CBOT on Monday was that bears finally gained full control of the corn and soybean markets with multiple bearish headlines allowing them to do so. Trade tensions between the U.S. and China and slow political progress on Capitol Hill pressured the soy complex overnight, and corn succumbed to spillover selling during the day session. Funds happily expanded their short positions in corn and quickly lightened up on any soy complex longs as well. The bullish news for the day came from wheat where escalating attacks between Russia and Ukraine created a sharp, early-day rally. That rally faded through the afternoon, however, and wheat finished with modest gains. Still, the wheat markets are trying to flash some bullish...
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.
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...