World Perspectives

Record Inflation Bringing Nuance to Biden Administration Policies

As this week’s CPI (up 9.1 percent June to June) and PPI (up 11.3 percent June to June) reports indicate, inflation is not “transitory.” The Federal Reserve has recognized that, increasing interest rates by 75 basis points at the last meeting, and preparing for the upcoming meeting at the end of the month where market expectation is for a 100 basis point increase. In early June, Treasury Secretary Janet Yellen also acknowledged in testimony before the Senate Finance Committee, “Look, I think I was wrong then about the path that inflation would take.” As the old saying goes, “when your only tool is a hammer, all problems look like a nail.” Indeed, the Administration has been hammering on two central...

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This is the limbo period between the expectations and reality of a new crop going into the ground. Prices gyrate in a narrow range, awaiting something more definitive than planting “intentions.” The bears see a planting pace off to a quick start, the bulls see ground that in many pl...

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Jul 26 Corn closed at $4.635/bushel, down $0.0025 from yesterday's close.  Jul 26 Wheat closed at $6.1675/bushel, down $0.035 from yesterday's close.  Jul 26 Soybeans closed at $11.785/bushel, up $0.0375 from yesterday's close.  Jul 26 Soymeal closed at $319.1/short ton, up $2.6...

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From WPI Consulting

Forecasting developments in production agriculture

On behalf of a private U.S. agricultural technology provider, WPI’s team generated an econometric model to forecast the movement of concentrated corn production north and west from the traditional U.S. Corn Belt. WPI’s model has subsequently provided quantitative support to a multi-million-dollar investment into short-season corn variety development. WPI’s methodology included a series of interviews with regional grain elevators and seed consultants. Emphasizing outreach and communication with stakeholders who possess intimate sectoral knowledge – on-the-ground insights – is a regular component of WPI’s methodologies, made possible by WPI’s ever-growing network of industry contacts.

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