The CBOT finished the week on a high note with funds and speculative traders buying heading into a weekend that is forecast to be hot and dry for the U.S. December corn posted a technical upside breakout while old crop corn, soybeans, and wheat moved towards the high side of their new trading ranges. Funds are often reluctant to extend positions and buy aggressively heading into the weekend, a fact reflected in today’s trade as few markets moved outside their trading ranges. However, if the weekend weather forecast is correct, Sunday night will likely see a strong bout of buying. The CBOT is increasingly entering “weather market mode”, which means weekend weather and updated weather forecasts have an outsized impact on pri...
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.