The CBOT was mostly higher in low-volume trading with some end-of-month position adjusting/profit taking occurring alongside technically-fueled fund buying. New crop corn and soybean futures hit new contract highs while old crop futures were steady/higher in range-bound trade. Funds are thought to have bought some 6,000 contracts of corn and 5,000 contracts of wheat while selling 4,000 contracts of soybeans. Notably, soymeal hit major support levels on Monday, which sparked the reversal of long soyoil/short soymeal spreads. The weekly Export Inspections report has become surprisingly consistent in its market implications in recent months. Over the past two months, it seems to WPI that the report is nearly always bullish soybeans, neu...
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.