World Perspectives

Trade Negotiator Frustrations; Larger Opportunities

Trade Negotiator Frustrations Much of the media coverage of the U.S. – China Phase One trade agreement has centered around Beijing’s commitment to fixed amounts of purchases of goods, services, energy and agriculture. But for U.S. trade negotiators, the focus should be on the technical obligations they’ve extracted from the Chinese. After all, it has been the technical barriers to trade that has most hindered sales. It is also the reason why the agreement is nearly 100 pages long. For example, USTR is proud of getting the Chinese commitment to take no more than two years to approve new GMO events. The section on DDGS is illustrative of the details in the agreement. In allowing DDGS imports from the U.S., China shall:...

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Cattle on Feed Report Shows Record Low Marketings

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Market Commentary: Absent Chinese Demand, Supply Dominates the Mood

Markets were over-weight on the Xi – Trump phone call this morning. The phone call went well enough but after it became clear there was no deal on ag or soybeans, the latter turned south. Beans and meal had traded higher overnight and at the open, but like all three wheats, closed on loss...

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Cattle on Feed Report Shows Record Low Marketings

USDA’s monthly Cattle on Feed report was released today at 3 p.m. Total cattle on feed amounted to 11.1 million head, 99 percent of last year, as expected.    Placements and marketings came in slightly more bullish than the pre-report estimates, but still close, within one perc...

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Summary of Futures

Dec 25 Corn closed at $4.24/bushel, up $0.0025 from yesterday's close.  Dec 25 Wheat closed at $5.225/bushel, down $0.0175 from yesterday's close.  Nov 25 Soybeans closed at $10.255/bushel, down $0.12 from yesterday's close.  Dec 25 Soymeal closed at $284/short ton, down $0.7 fro...

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From WPI Consulting

Weighing in on strategic realignment

WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.

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