The CBOT rallied sharply on Tuesday with corn and soybeans posting new contract highs overnight. The day session saw funds immediately emerge as net buyers and it was off to the races from there. July SRW wheat and old and new crop corn and soybeans all posted fresh contract highs. Soyoil rallied sharply as end-users are increasingly worried about securing summer supplies. Even livestock futures got in on the bullish action and cattle and hog markets settled higher. Funds likely bought 25,000 contracts of corn, 20,000 contracts of soybeans, and 15,000 contracts of SRW wheat on Tuesday. Funds were also net buyers of some 12,000 soyoil contracts and 6,000 soymeal contracts. WPI hears that commercial end users were also noted buyers in...
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
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.