In a day full of new fundamental data, it was policy expectations that ruled the CBOT. Corn and soybean futures were mixed and largely lackluster in today’s trading with wheat posting solid gains. The markets remain supported/optimistic based on (apparently) improving trade relations between the U.S. and China. Chinese Vice Premier Liu He is in Washington, DC today to discuss further trade details. Both the U.S. and China indicate that good progress has been made this week, but the market will not be comforted until a deal is signed and the details released. China has agreed to purchase $50 billion worth of U.S. agricultural goods if/when a trade deal is reached – but the market is still questioning if/when that will be. USDA U...
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.