General Comments With limited fresh news, a stronger dollar and weakness in other commodities, financial markets and other asset classes in general, as well as grain and soy markets, had nothing going for them. They were again under selling pressure during the overnight e-session. Liquidation selling continued during the day session, and was especially heavy in corn. Selling was also heavy in the wheat market, but a lot of the non-commercial selling involved added to already established short positions.After setting back early in the day session, the soy complex tried to buck the trend. Buying was supported by USDA daily sales reports of 204,000 new crop soybeans to unknown and 30,000 MT of old crop soyoil to China. The latter was unusua...
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
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.