There was no unexpected export business around or any adverse weather forecast that could have been the cause. This would seem to be a good old-fashioned short covering rally ahead of next Friday's USDA reports that was led by some significant fund buying.Traders turned their screens on last night expecting to see lower openings ahead of this Friday's USDA reports and with what looks like generally good harvest weather ahead. That didn't happen. Instead, markets opened very strong, led by soybeans with wheat and corn a lengthy distance behind. By this morning, November soybean futures were trading 15-16 cents higher and bumping right up against last week's technical resistance at $9.30. They eventually traded as high as $9.43 and closed jus...
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...
What You Need to Know Today: Wholesale inflation was flat in July, with the Producer Price Index (PPI) unchanged versus expectations for a 0.2 percent increase. Core PPI rose 0.2 percent, also below expectations. The softer inflation data has reduced the odds of a September interest rate incre...
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.