Conventional wisdom among many traders of grain futures is that USDA's unexpectedly huge 1 March quarterly corn stocks estimate killed the long-term bull market in grains and the soy complex. After that report was released on Thursday, 28 March, the May corn contract fell the 40-cent daily limit. Friday was a holiday, but that did not matter because on Monday, 1 April, with an expanded daily limit, the May corn contract plunged an additional 53 cents for a total loss of 93 cents in two trading days. CME May wheat fell 72.75 cents during the same two trading days, and May soybeans lost 63 cents. When futures prices across the board fall so far in two trading days, it has to be a signal of something.Actually, this long-term bull market in g...
What You Need to Know Today: Commodities were mostly lower across the board today after yesterday’s Federal Reserve meeting hinted at a potential interest rate hike later in 2026. The dollar index reached its highest level in over a year, and a strong dollar makes U.S. agricultural expor...
Tomorrow is the Juneteenth federal holiday, and the USDA, along with the rest of the federal government and the CME, will be closed, so the monthly Cattle on Feed report was released a day early. The total number of cattle on feed in feedlots with 1,000 head or more capacity on 1 June amounted...
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.