Corn Flat prices are low and are even lower for deferred positions. Grain sales are liquidated in Argentine pesos at the official exchange rate of about 65 ARS/USD and the only way to buy back U.S. dollars is on the black market at 120 ARS/USD. Staying long Argentine pesos seems crazy with the current inflation rate, and even crazier knowing that inflation is expected to increase substantially in the future as the country has no access to credit and the government is printing money to ease the economic situation. Given the currency situation, and the fact they have already sold a large volume of the corn crop, farmers have little reason to keep selling. There has been a large reduction over the past two weeks in the daily volume of...
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
Illuminating the value of technical research
On behalf of a commodity producer organization, WPI evaluated the outputs from a project that featured a $5 million investment into technical research over multiple years. WPI’s team captured the results of this extensive effort and synthesized them for presentation to the organization’s governing board; among the findings uncovered and presented for the first time was the development of genomic traits proven, via rigorous testing, to provide crop yield advantages of 50 percent or more to U.S. farmers in times of drought. Capturing measurable results from long-term efforts can be challenging. Educating clients on the dynamics of success measurement when quantifiable results are not readily available requires deep client-consultant collaboration and an ability to consider both near- and long-term client aspirations with market/policy dynamics – attributes that WPI brings to every consulting engagement.