The CBOT opened higher overnight with strength from Tuesday’s reversals carrying through into trade early on Wednesday. The markets turned lower, however, as concerns about worsening relations between the U.S. and China weighed on futures. The soy complex took the brunt of that concern and bear spreading developed versus the grains. Despite today’s lackluster trade, seasonal trends suggest rally potential is growing and technical indicators are firming as well. Funds are thought to have bought some 5,000 contracts of corn and 6,000 contracts of soyoil while selling some 2,000 contracts in both wheat and soybeans. News broke this afternoon that U.S. Secretary of State Mike Pompeo said Hong Kong is no longer autonomous from...
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.