Old habits are often hard to break, but bearish fund managers are undoubtedly becoming nervous about their short wheat positions and probably with good reason.To the extent that markets can develop habits, being bearish on the price of wheat is an example. This goes back to 2013 as the world began to produce more wheat than it consumed in the 2013/14 wheat crop year. According to USDA estimates, world wheat stocks totaled 176 MMT at the beginning of that year and reached 183 MMT at its end. They will have grown to about 255 MMT by the end of 2016/17, an increase of 72 MMT during just three annual wheat crop cycles. That is an average annual gain of 24 MMT or very roughly 10 percent.The community of managed money funds that trade in agricult...
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
Accountability and a comprehensive approach to export programming
WPI’s team helped construct a strategic approach to develop, implement, and track promotional activities in 8 key regions across the globe for an agricultural export association. With continued progress measurement and strategic advisory services from WPI, the association has seen its ROI from investments in promotional programming increase by 44 percent over the past 5 years. Not only does this type of holistic approach to organizational strategy provide measurable results to track and analyze, it fosters top-down and bottom-up organizational accountability.