Today’s lower-than-expected grain and soybean stocks may temper the bears’ enthusiasm. By the same token, however, bulls will have great difficulty using them to build their case. General Comments USDA’s stocks and small grains reports were sort of a mixed bag in terms of how they fit with expectations. Following is a summary of the numbers:Not surprisingly, USDA reduced the 2014/15 U.S soybean production by 42 million bushels to 3.93 billion and lowered the national average yield by 0.3 bushels/acre to 47.5 bushels/acre. This helps account for the lower-than-expected ending soybean stocks.All of the stocks came in somewhat below trade expectations with wheat showing the biggest difference. Yet, all of this year’s 1 September stocks are m...
What You Need to Know Today: A third U.S. border crossing (Columbus, New Mexico) has reopened to Mexican cattle imports following nearly two years of restrictions related to New World screwworm. The reopening could gradually improve feeder cattle availability, although more than 60 confi...
Yesterday, the USDA’s Agricultural Marketing Service (AMS) released a new report of negotiated cash purchases of cattle under the mandatory price report. The report included Colorado, New Mexico, Oklahoma, Texas, and Kansas. The goal of the report was to solve the confidentiality issues e...
Key Takeaways: U.S. soybean crushing began in 1911 and saw its most rapid expansion during the 1930s amid the broader agricultural and technology revolutions of the time. After peaking in the early 2000s, the soybean crushing industry went through a downturn as poor crush margins forced...
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.