The CBOT opened higher with wheat and soymeal leading the way. Corn followed wheat higher but soon fell back and entered a choppy trading pattern for the day. Soybeans rallied early on strength in the soymeal market, which posted a new contract high today, while soyoil continued to find pressure from fund profit taking. USDA’s report of fresh export business for corn and soybeans was supportive but better rains forecast for Brazil pressured afternoon gains. The monthly Cold Storage report showed total red meat and poultry supplies up 1.7 percent from July but down 7.3 percent from August 2019. Red meat supplies continue to see the lingering impacts of this spring’s packing plant shutdowns while the poultry market has rema...
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
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.