The simple fact is that annual production and thus the annual renewability of grain and oilseed supplies allows for a quick production response to high prices. Generally, it takes a longer period of time for demand to grow in response to low prices.High prices (and good weather) are the best cure for high grain and oilseed prices, to paraphrase the old economic cliché, and the experience following 2012/13 offers vivid confirmation of this. Three years of record or near-record U.S./world crop production and growing stocks have buried those loudly-voiced fears of shortages and growing world hunger, which even at that time were overblown. Political critics of high crop prices, futures markets, lax regulation, excessive speculation, crops for b...
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
Infrastructure investment due diligence
On behalf of a Canadian oilseed processer WPI's team provided market analysis, econometric modeling and financial due diligence in support of a $24 million-dollar investment in a Ukrainian crush plant. Consistent with WPI's findings, local production to supply the plant and the facility's output have expanded exponentially since the investment. WPI has conducted parallel work on behalf of U.S., South American and European clients, both private and public, in the agri-food space.