GOOD MORNING, Overnight prices were once again higher on technical follow-through to the upside of new contract highs. Wheat and meal remain the exception as they continue to move in a large sideways chop. New money continues to pour into the market on adverse weather and market hype of tight supplies. Overseas markets are higher as traders return from holiday. Adding to the bulls is chatter that Chinese corn and wheat stock deficits could be even larger than the numbers reflect. Possible changes in the May 12 USDA WASDE include higher Chinese imports, smaller Brazilian crop, and larger US exports. Suppose the best question is the amount of fund money getting the market ahead of itself. The m...
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.