General Comments The trading pattern of the markets was reversed from the recent "norm" last night and today. That might have been a slight disturbance in the "force." Instead of opening higher and trading strong overnight followed by a collapse during the day, markets opened very weak last night following Friday's major sell-off, but then did a 180 and moved to sharply higher levels led by soybean futures. March soybean futures did drop back to within a penny of Friday's low at $13.56 (which was also the harvest low) and markets had a very back-and-forth trade today, but they finished well off the lows and very strong.There was no single event or news item that caused the turnaround. The markets were and still are oversold technically,...
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
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.