General Comments Echoes of yesterday's WASDE, fears of freeze damage to new crop HRW, finally a sale of new SRW to China, strong cash bids for soybean and corn, and delivery prospects for the May contracts are among the things that stirred grain and soy markets today. Light volume overnight trading followed yesterday's post-report pattern with firmer corn prices but weaker soy and wheat values.The day session came to be dominated by bull spreading, especially for soybeans, but in general the overall price tone across the board was firmer than was the case overnight. USDA announced a sale of 360,000 MT of new crop SRW to China that finally provided some confirmation of trade rumors from the last two weeks, but CME SRW futures prices were...
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.