The CBOT was mixed on Tuesday with corn and wheat ending lower on continued fund selling amid bearish supply and demand prospectives, respectively. The soy complex edged slightly higher in a mile correction from Monday’s drubbing and despite forecasts of favorable Midwest rains and weather in the next few weeks. The changes to the weather forecast are keeping grain and oilseed markets on the defensive with funds quickly exiting any lingering longs and jumping to the short side of the market. WPI sees better opportunities for more bullish price action in soybeans this fall than corn or wheat, but the near-term weather forecast will likely constrain rallies heading into the August WASE next Friday. USDA’s June Grain and Oilseeds...
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
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.