As Gary Blumenthal reported yesterday, efforts are afoot to put a safety net under global crude oil prices. President Trump is communicating with Saudi Arabia and Russia to coordinate a détente in their price and production war, and the so-called OPEC-Plus group, which includes OPEC members and Russia, is set for an emergency video conference on Monday. Yesterday Brent crude futures moved up 21 percent, which in percentage terms is the best day since the contract was launched in 1989. West Texas Intermediate (WTI) crude closed up 24 percent – also a record. The problem is the rally record is on a percentage basis and the denominator is still very small. Both contracts were down more than 50 percent on the year going into yeste...
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.