The Brazilian soybean basis is anticipated to soon decline, and that is a potential concern for Argentine soybean producers as their position is being steadily eroded by the strength of the U.S. dollar against Brazil's real. Devaluation of the Brazilian Real Not Helpful to Argentina Brazilian farmers naturally prefer to sell when the Brazilian real is in decline against the U.S. dollar. Therefore, it is somewhat surprising the Brazilian soybean basis has not significantly weakened due to increased selling. At the moment, demand seems strong enough to supporting that basis, but it is anticipated to soon decline and that is a potential concern for Argentine soybean producers as their position is being steadily eroded by that strength of the...
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.