World Perspectives

Snapshot of Credit Situation

There are plenty of worries about credit access and conditions in the agriculture sector. The Senate Agriculture Committee held a hearing yesterday on the Farm Credit System (FCS) and the current economic climate. As has been widely reported, the Federal Reserve Board released the minutes of the April Federal Open Market Committee (FOMC) meeting 18 May, which indicate that the committee has put a potential interest rate hike on the table for its June meeting. The minutes reflected a generally positive outlook for the economy, unchanged since the March meeting. The FOMC reported that financial market conditions continued to improve, equity prices rose further, the U.S. dollar depreciated from its earlier highs this year, and credit spreads d...

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Markets were over-weight on the Xi – Trump phone call this morning. The phone call went well enough but after it became clear there was no deal on ag or soybeans, the latter turned south. Beans and meal had traded higher overnight and at the open, but like all three wheats, closed on loss...

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Summary of Futures

Dec 25 Corn closed at $4.24/bushel, up $0.0025 from yesterday's close.  Dec 25 Wheat closed at $5.225/bushel, down $0.0175 from yesterday's close.  Nov 25 Soybeans closed at $10.255/bushel, down $0.12 from yesterday's close.  Dec 25 Soymeal closed at $284/short ton, down $0.7 fro...

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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.

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