SPREADS Jan crush continues to firm, trading up to 96.24c/bu as oilshare corrects again today, trading down to 34.13%. Volumes in corn continues to be found comprised mostly of spread activity, with December corn open interest down 36,550 contracts yesterday vs. increased of 37,125 March. December corn open interest now stands at 565,700 mt vs. March at 477,177 contracts. Dec/March corn narrows into 8 1/2c as basis remains very firm. Jan open interest increased on selling activity suggesting that new shorts are coming into this market on technical weakness, with Jan and March open interest rising by 3100-4400 contracts, respectively. Jan/March beans trades from 13 1/4c out to 13 3/4c. &...
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
Communicating importance of value-added products
Facing increasing pressure to quantify the value of export promotion efforts to investors, a U.S. industry organization retained WPI to develop a quantitative model that better communicated the importance of exports. The resulting model concluded that value-added meat exports contributed $0.45 cents per bushel to the price of corn, increasing support for that sector’s financial support of WPI’s client. In addition to serving the red meat industry with this type of analysis, WPI has generated similar deliverables for the U.S. soybean and poultry/egg industries.