Soybeans The market changed quickly last week after President Trump tweeted that the U.S. would impose an additional 10 percent tariff on $300 billion worth of Chinese goods. Brazilian basis levels increased sharply in response, and Chinese crushers became nervous with the chance to buy U.S. soybeans slipping away. Brazilian exporters boosted their basis offers significantly on the FOB and CNF markets, while Chinese buyers validated the levels. Basis increased more than 20 cents/bushel FOB, fueled by the strong demand. A few weeks ago, the August position was very heavy as Chinese buyers were almost covered and only looking at September offers. This was furthered by the freight inversion between August and September. Last-half August ship...
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.