Wheat futures were the exception to the CBOT’s trend-following trade on Tuesday, as the market rallied following another round of Russian attacks on Ukrainian ports. The news sent wheat higher with CBOT futures up 10+ cents in a clear break from their recent trend lower. Corn and soybeans followed their sideways and higher trends for the day, with the Brazilian weather outlook creating most of the day’s support. Soybeans did receive benefit from soyoil’s rally, which both technical and fundamental developments motivated. Funds were net buyers for the day and covered some wheat and corn shorts for the day as Thursday’s U.S. Thanksgiving holiday and a shortened trading day on Friday loom. Outside markets were mo...
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.