Weather remains the primary driver of the major CBOT markets and Friday’s shift in the forecasts to feature more Corn Belt rains in the next two weeks sent futures lower. Corn and soybeans were the downside leaders as a combination of improved weather forecasts, profit taking, and hedge selling pressured values. Funds led the charge lower, but WPI sources note that farmer selling has picked up substantially in the last few days as values have rallied. WPI hears that many producers didn’t have any grain sold earlier this month and were wondering how to make money amid forecasts of sub-$5 corn and sub-$11 soybeans. Now, producers are taking advantage of the rallies to market at least some of the crop that will be produced, leading...
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...
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.