The CBOT traded to new highs overnight with funds remaining active buyers while Paris milling wheat futures hit a new all-time high for the spot contract of €297/MT. The day session, saw buying interest fade and prices work their way lower with wheat and corn posting bearish reversals for the day. WPI now looks for the CBOT to trade lower/sideways heading into the November USDA report. Fund managers are watching this week’s decline in ocean freight rates and wondering if end-user demand has peaked for the year. Freight rates are declining as demand falls and vessel availability increases (though container availability remains limited), which is a likely signal that the bull market is ending for now. Reportedly, declining C...
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
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.