Brazil and Argentina took advantage of this week's rise in CBOT contract prices. In comparison, U.S. soybeans are so expensive that there is even talk of spot soymeal moving from those two countries into the U.S. market. Soybeans South American merchandisers were pleasantly surprised when CBOT soybean futures suddenly rallied and created an opportunity to actively market abundant stocks. Brazilian soybeans are being traded as far out as November into China. Such sales reduce the marketing window for U.S. soybeans from sometime in November through January. Brazilian soybean production will then again hit the market in February, and this crop is normally priced 25 cents/bushel below U.S. competition. Three months is unlikely to be sufficien...
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.