The CBOT was mixed on Wednesday with grain and oilseed markets lacking much fresh fundamental news, other than weather updates and the first deliveries against May futures. The delivery data showed surprisingly heavy deliveries against soymeal, soyoil, and KCBT wheat and unexpectedly light deliveries against soybeans and corn. That latter fact helped lift the corn market to gains that took back some of Tuesday’s weakness, and the same was true for CBOT wheat as well. The soy complex struggled for the day amid deliveries against product futures, weaker energy markets, and signs of a (likely temporary) slowdown in global soybean demand. Funds were net buyers in corn and CBOT wheat for the day but net sellers everywhere else, which...
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.