Corn followed through on last week’s upside breakout and overnight fund buying sent the market to a fresh contract high. Buying interest was limited in wheat and soybeans, however, with funds using rallies in both as selling opportunities. That created choppy, sideways trade for most CBOT markets and corn futures were pulled off the day’s highs. WPI remains bullish corn and soybean fundamentals, but money flows suggest the soy complex will struggle heading into February. Position adjusting is starting to develop ahead of the February WASDE, which may put markets in range-bound modes going forward. Funds are thought to have purchased 13,000 contracts of corn futures and sold 7,00-8,000 contracts each of soybeans and wheat...
What You Need to Know Today: Cattle futures extended their sharp selloff Friday as weakening cash cattle prices, deteriorating feedlot profitability, and reduced packer demand continued to weigh on the market. The inability of futures to sustain a rally following last week's bullish Cattle on...
As predicted, the Federal Reserve held rates steady at the last meeting before the midterm elections, likely in part because of the election (see WPI 19 October and 22 September). The decision comes at the tail end of a midterm election cycle that has been marked by the two parties campaigning...
Key Takeaways: WPI’s new EU rapeseed crushing margin models point to weaker processing returns over the next four months due to higher rapeseed procurement costs and weaker product values. Statistical forecasts call for German crushing margins to decline from €181/MT to €...
From WPI Consulting
Infrastructure investment due diligence
On behalf of a Canadian oilseed processer WPI's team provided market analysis, econometric modeling and financial due diligence in support of a $24 million-dollar investment in a Ukrainian crush plant. Consistent with WPI's findings, local production to supply the plant and the facility's output have expanded exponentially since the investment. WPI has conducted parallel work on behalf of U.S., South American and European clients, both private and public, in the agri-food space.