Everyone understands that world weather in 2013 will be critically important to commodity suppliers and prices. World feed grains supplies are hovering around record small levels. With soybean supplies in the U.S. expected to be near bin-bottom levels by late summer, the world is banking on record soybean production in Brazil and Argentina to replenish stocks. The trade feels comfortable with world wheat supplies, but a closer looks shows the major exporters -- with the exception of North America -- are basically "out." We continue to monitor potential production problems in southern Russia because of the drought and very cold winter. We see the U.S. drought monitor maps in every publication and at every meeting. We know that high prices...
What You Need to Know Today: Cattle futures extended their sharp selloff Friday as weakening cash cattle prices, deteriorating feedlot profitability, and reduced packer demand continued to weigh on the market. The inability of futures to sustain a rally following last week's bullish Cattle on...
As predicted, the Federal Reserve held rates steady at the last meeting before the midterm elections, likely in part because of the election (see WPI 19 October and 22 September). The decision comes at the tail end of a midterm election cycle that has been marked by the two parties campaigning...
Key Takeaways: WPI’s new EU rapeseed crushing margin models point to weaker processing returns over the next four months due to higher rapeseed procurement costs and weaker product values. Statistical forecasts call for German crushing margins to decline from €181/MT to €...
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.