The CBOT traded a notable day with weak overnight trade pushing corn, wheat, and the soy complex sharply lower. As is the hallmark of bull markets, however, the selloff attracted end-users and the markets strengthened through the day session. The major CBOT markets finished with significant gains and corn continues to trade near its contract highs. Funds emerged as net buyers especially heading into the close and end-users continue to price physical needs as well. WPI sources say China continues to show interest in U.S. corn on breaks in the market and that February soybean exports from Brazil are being washed out for U.S. shipments. Cash prices and basis across the U.S. remain firm or are trending higher and CIF values are sharply h...
From WPI Consulting
Forecasting developments in production agriculture
On behalf of a private U.S. agricultural technology provider, WPI’s team generated an econometric model to forecast the movement of concentrated corn production north and west from the traditional U.S. Corn Belt. WPI’s model has subsequently provided quantitative support to a multi-million-dollar investment into short-season corn variety development. WPI’s methodology included a series of interviews with regional grain elevators and seed consultants. Emphasizing outreach and communication with stakeholders who possess intimate sectoral knowledge – on-the-ground insights – is a regular component of WPI’s methodologies, made possible by WPI’s ever-growing network of industry contacts.