The CBOT started the holiday-shortened week in a lackluster manner with the soy complex sinking lower, largely on weaker palm oil values and soymeal deliveries, while wheat and corn futures scratched out small gains. Trading volume was light for the day and the last day of the most recent heatwave seemed to bring little excitement for the markets. Traders are largely banking on the hope that corn and soybeans have mostly defined their yield already and, consequently, the last week’s heat will do little to dent production. Funds were net sellers in the soy complex and are thought to have been flat corn and wheat while still being net short those commodities. The heatwaves of the past two weeks have started to dent corn and soybe...
The U.S.-Mexico-Canada Agreement (USMCA) enters its mandated six-year review on 1 July. The original intent of the review is outlined in Article 34.7, which obligates members to: Provide recommendations and decide on appropriate actions. Extend the USMCA for another 16 years and meet aga...
Key Market Insights Geopolitical Limbo: Geopolitical risk remained a key driver across global commodity markets today. President Trump stated that the Iran memorandum of understanding is not yet final and warned that military action could resume if negotiations fail. Both sides continue w...
Key Takeaways: Drought remains a major threat to global agricultural production, particularly in regions with limited rainfall and growing water scarcity. Commercially available drought-tolerant traits in corn, soybeans, and wheat have generally delivered modest yield improvements, limiting th...
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.