The CBOT started out weaker but found generally solid buying interest. Traders that were unable to exit shorts/trade the upside move on Wednesday are taking pullbacks as buying opportunities now. Funds are thought to have bought 6,000 contracts of corn and some 5,000 contracts of soybeans and wheat. The weekly CFTC report (which includes traders’ positions though Tuesday, the day before the Grain Stocks report) showed funds still extending length in corn and soybeans. Positions added were relatively small, however, as risk managers are likely warning against becoming over extended. Funds were net sellers of wheat and bought a modest volume of cattle futures while selling some of their lean hog longs. For additional analysis of...
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.