The CBOT attempted to stabilize overnight and in early-morning trade on Wednesday, but headlines from the Black Sea and persistent long liquidation pushed grains sharply lower for the second straight day. Soybeans found support from old and new crop export sales to China, but gains were limited by the large selloffs in corn and wheat. The trigger for the day’s weakness in corn and wheat was, again, rumors that Russia will allow Ukraine to export ag products, including wheat and fertilizer. There are increasing reports from media outlets that exports will increase from Ukraine following next week’s talks between Russia, Ukraine, and western nations in Turkey. WPI remains skeptical, however, that Russia will actually permit...
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.