Monday’s trade was all about the weekend, which was hot and dry in the U.S. Midwest and featured more attacks by Russia on Ukrainian infrastructure. That alone would have been enough to send markets into rally mode, but it was coupled with a third bullish factor – an extremely hot and dry forecast for the U.S. this coming week. The excessive heat and dryness come as the corn crop is finishing pollination – a key period for yield definition – and as the bulk of the soybean crop is about to start pod filling. Funds were massive buyers for the day and shorts were quickly blown out of any lingering and underwater positions. With last week’s ending of the Black Sea gain export corridor deal, most analysis &nd...
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.