The CBOT was mostly lower to start the week with grain and oilseed futures seeing pressure develop after the U.S. and Colombia averted a possible tit-for-tat trade war over the weekend. Sunday saw both the U.S. and Colombian presidents threaten each other’s country with 25 percent tariffs following a spat over deporting migrants, with the two sides eventually reaching an agreement. The thought of raising costs by one-quarter on a top five U.S. corn importer and major crude oil supplier shocked markets and triggered “risk off” trade for the day. Corn, wheat, and soybeans all settled lower for the day with specs emerging as net sellers and booking profits on waning momentum. The weather in South America remains a concern goi...
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.