The bullish November WASDE continued to support prices on Wednesday, with the CBOT opening higher on sustained buying interest. Soyoil was the upside leader for the day as a new contract high in Malaysian palm oil futures and the market’s own technical strength sparked more buying. The soyoil market kept soybeans firm even as corn traded a lackluster day and wheat broke lower through the afternoon. For corn and the soy complex, the trends are still higher with plenty of fundamental support. The markets are entering demand-rationing mode now, but buyers continue to increase pricing ideas. For wheat, bullish news is lessening and prices are starting to grind lower amid profit taking. Wednesday marked the fourth day of the Goldman roll a...
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.