The CBOT was not in a good mood Tuesday (at least not from a long’s perspective) as it opened on the defensive and found reasons to justify a massive bearish reaction to modestly bearish WASDE numbers. USDA increased U.S. corn and wheat ending stocks slightly and cut the 2022/23 soybean carry-out, but all three of those futures markets posted 40-60-cent losses anyway. There was a sense that a collapse in crude oil and another rally in the U.S. dollar created a selling mentality even before the report came out. Moreover, the USDA’s report seems to indicate that world grain and oilseed supplies are growing, and the bull market story is over. Even if the report didn’t necessarily justify a selloff, the lack of a tradeable bul...
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
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.