Wheat futures were the exception to the CBOT’s trend-following trade on Tuesday, as the market rallied following another round of Russian attacks on Ukrainian ports. The news sent wheat higher with CBOT futures up 10+ cents in a clear break from their recent trend lower. Corn and soybeans followed their sideways and higher trends for the day, with the Brazilian weather outlook creating most of the day’s support. Soybeans did receive benefit from soyoil’s rally, which both technical and fundamental developments motivated. Funds were net buyers for the day and covered some wheat and corn shorts for the day as Thursday’s U.S. Thanksgiving holiday and a shortened trading day on Friday loom. Outside markets were mo...
What You Need to Know Today: CBOT markets pared Monday’s sharp losses as traders booked short profits and adjusted positions ahead of the Grain Stocks report that USDA will release Wednesday afternoon. The 7-day QPF forecast from NOAA now shows heavy rain across the central and western C...
There was encouraging news over the weekend: the White House may reject the misguided idea on Capitol Hill to ban U.S. diesel exports. What WPI has noted previously was perhaps best put by a Department of Energy report of 2022, under the Biden administration: Petroleum liquids markets are globa...
Key Takeaways: Comparative advantage encourages countries to specialize in goods they can produce at a lower opportunity cost and rely on trade for others. Differences in climate, land, infrastructure, and technology help determine where agricultural commodities can be produced most efficientl...
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.