GOOD MORNING, Trade opens into positive territory to start the PM session, with conditions poorer than expected and hot and dry forecasts continuing in areas where it is hurting crop development the most. Ratings were released that were under trade expectations. Spring wheat acreage ratings fell to the lowest since 1988. Funds are now long an estimated 165K beans, 100K soyoil, 280K corn, and even to slightly long wheat. Chinese markets were actually lower overnight. The July index roll pressured prices yesterday as funds roll or liquidated July contracts. Spreads are firmer for beans this AM, but continue to leak lower for corn. Most of the volume is now going to Dec. corn and Nov bean...
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.