Markets were steady to fractionally higher overnight, and they traded slightly higher much of today. That was a small surprise considering the magnitude of the corn yield increase in yesterday’s USDA report. As Bob Kohlmeyer wrote (see Ag Perspectives, 9 November), the corn and wheat markets have been so bearish for so long that there wasn’t much selling pressure left. Funds are already holding a record short position in corn futures and have been short wheat for a very long time. There wasn’t much appetite, at least today, to enlarge those short positions. The fact it was Friday as well as the Veteran’s Day holiday probably also cushioned the sellers. Most of the government was closed today, but the banking industr...
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
Forecasting developments in production agriculture
On behalf of a private U.S. agricultural technology provider, WPI’s team generated an econometric model to forecast the movement of concentrated corn production north and west from the traditional U.S. Corn Belt. WPI’s model has subsequently provided quantitative support to a multi-million-dollar investment into short-season corn variety development. WPI’s methodology included a series of interviews with regional grain elevators and seed consultants. Emphasizing outreach and communication with stakeholders who possess intimate sectoral knowledge – on-the-ground insights – is a regular component of WPI’s methodologies, made possible by WPI’s ever-growing network of industry contacts.