The CBOT traded a mostly higher day with corn and soybeans pushing closer to major resistance at $6.00 and $13.00, respectively. Funds were net buyers and a handful of buy-stops were triggered in both the corn and soybean markets as futures passed technically significant levels. Wheat futures were higher but lacked conviction, despite further escalations in Russia/Ukraine tensions. U.S. farmers were not significant sellers on today’s rallies but are rumored to have resting sell orders at or above $6.00 in corn and $13 in soybeans. Both corn and soybeans seem poised for an upside breakout, but a fundamental catalyst is so far lacking. Much of the Midwest saw exceptional windstorms in the past 24-48 hours, with the southern Plain...
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.