Grain futures continued to find support from Tuesday’s bullish WASDE report with corn, wheat, and soybeans all trading higher, though corn futures dipped into the red during the final minutes of trading. Traders followed through on the bullish signals from the WASDE as well as increasingly bullish technical pictures in corn and wheat. Soybeans turned higher, but that seemed to be mostly short covering trade related to relief that USDA didn’t increase the Brazilian crop estimate (yet). The rest of the week’s trade will be interesting with futures bumping up against technical resistance in several markets and growing open interest signaling more risk appetite than was expected heading into the holidays.U.S. stocks and long-dated government de...
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
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.