SPREADS Corn spreads are a big firmer with July/Dec at 2 1/4c from 3 3/4c. July/Nov beans narrows into 8 1/2c from 9c. March wheat/corn trades from 1 3/4c to 1 1/4c inverse. May crush firms to 1.04c/bu while oilshare falls to 34.13% as traders buy meal/sell soyoil futures. PALM OIL April palm closes 286 ringgits lower, down as much as 10%, the most in over a decade, on mounting concerns over the coronavirus in China that could impact demand, and the continuing feud with India, the largest importer of palm oil. Shipments to India could hit a 9-year low in Jan. NEWS Equities remain firm today with the Dow 140 pts higher. Crude trades up to $53.61/barrel, with the US dollar stronger at 98.10...
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.