Grain and soy futures markets often pose more questions than answers. In terms of trade volume and volatility that is a good thing since it is questions not answers that fuel markets. In that sense last week’s WASDE answered a few questions at least temporarily but raised many more. USDA’s long-awaited September U.S. corn and soybean yield and production estimates put numbers on the amount of damage done by the late season western Corn Belt drought and the derecho winds that tore across Iowa. NASS/USDA dropped harvested acreage by 500,000 (the Iowa storm) and its corn yield estimate 3.3 BPA from its August number leading to estimated 2020/21 production of 14.9 billion bu (down 378 million from last year). The soybean yield fell...
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
Infrastructure investment due diligence
On behalf of a Canadian oilseed processer WPI's team provided market analysis, econometric modeling and financial due diligence in support of a $24 million-dollar investment in a Ukrainian crush plant. Consistent with WPI's findings, local production to supply the plant and the facility's output have expanded exponentially since the investment. WPI has conducted parallel work on behalf of U.S., South American and European clients, both private and public, in the agri-food space.