It is the cyclical nature of freely-traded futures markets that attracts traders and trading volume. If futures prices did not move up and down, there would be no futures markets or need for them since they would be useless to producers and commercial interests for purposes of risk management.Following grain markets is truly a full-time job. Technology and the demands of globalization now allow traders to access and trade in CME grain and soy complex contracts via the electronic Globex platform nearly 18 hours per day. Saturday is the only day of the week when markets are completely closed. By contrast, the traditional and soon-to-be historic open outcry trading pits that we grew up with were open for trading less than five hours a day Mond...
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...
What You Need to Know Today: Wholesale inflation was flat in July, with the Producer Price Index (PPI) unchanged versus expectations for a 0.2 percent increase. Core PPI rose 0.2 percent, also below expectations. The softer inflation data has reduced the odds of a September interest rate incre...
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.