Soybeans Brazil The soybean market remains slow. With China very quiet and Brazil currently cheaper than U.S. Gulf, basis continues to fall. The only movement has been for spot positions with the market turning into a carry structure for January onward. Last week there were rumors of a trade at 114 for January and 105 for a January/February straddle, although this has not been confirmed. There is still elevation capacity for the nearby positions at ports. The harvest is just beginning in Brazil (approximately 5 percent complete at this time), and soybeans will soon start flowing to ports. Exporters need to put some sales in the books to rotate the ports, but demand is not showing up. Origination basis is above present levels, and farmers...
What You Need to Know Today: Commodities were mostly lower across the board today after yesterday’s Federal Reserve meeting hinted at a potential interest rate hike later in 2026. The dollar index reached its highest level in over a year, and a strong dollar makes U.S. agricultural expor...
Tomorrow is the Juneteenth federal holiday, and the USDA, along with the rest of the federal government and the CME, will be closed, so the monthly Cattle on Feed report was released a day early. The total number of cattle on feed in feedlots with 1,000 head or more capacity on 1 June amounted...
From WPI Consulting
Communicating importance of value-added products
Facing increasing pressure to quantify the value of export promotion efforts to investors, a U.S. industry organization retained WPI to develop a quantitative model that better communicated the importance of exports. The resulting model concluded that value-added meat exports contributed $0.45 cents per bushel to the price of corn, increasing support for that sector’s financial support of WPI’s client. In addition to serving the red meat industry with this type of analysis, WPI has generated similar deliverables for the U.S. soybean and poultry/egg industries.