SPREADS March crush is firmer this morning trade to 1.01c/bu while oilshare is a steady trade at 36.49%. Wheat spreads are firming with March/May trading into 2 1/2c from 3c. March wheat/corn trades up to 1.80 3/4c from 1.77c as wheat trades to new market highs for the move up. March/May corn remains a wider 6 1/2c to 6 3/4c trade. PALM OIL March up 26 ringgits. Prices recouped early losses gaining for a fourth weekly session on bulls Palm Oil Board data showing lower stockpiles and higher than expected exports in Dec. Malaysian Palm OIl Board pegged Dec. 2019 palm oil production at 1.333 mmt, slightly below the expected 1.338 mmt, and down from 1.538 mmt in Nov. Ending stocks in Dec. 2019 totaled 2.00...
Key Takeaways: Dry bulk markets remain mixed with Capesize vessels seeing continued pressure from weaker demand while fixtures and rate strength gradually increases towards the smaller vessel classes. Tanker markets are pulling back from their recent highs as tonnage moves out of the Mid...
The Trump import plan for 300,000 MT of beef supplies used for ground beef, i.e., lean trim, from September through November has, according to Secretary Brooke Rollins, brought some relief to beef prices. The Executive Order states that the Secretary of Agriculture will analyze and review the m...
Key Takeaways: Texas illustrates the assumptions underlying the 2025 FMMO reform; Idaho exposes their limitations. The Southwest order blend (roughly 27 percent Class I, 32 percent Class III and 31 percent Class IV) exposes Texas producers to every lever USDA adjusted, with a near-neutral proj...
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.