The CBOT opened weaker overnight with fund liquidation continuing, especially in soybeans. March soybean futures fell 26 cents in the first 30 minutes of overnight trade while corn found better initial support but eventually traded lower and filled the open chart gap. The overnight weakness attracted end-user pricing and buying activity, however, and the CBOT firmed through the afternoon. WPI also notes the increase in CBOT soybean margins from $2,750 per contract to $2,950 for March 2021. That may have chased out weak longs and further pressured the soy market. News has been light this week with some reports delayed due to Monday’s U.S. holiday and all of Washington D.C.’s focus tuned to the new Presidential administrati...
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
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.