While there was some red flashing early in today’s trading session, by the close all major grain and oilseed contracts were in the green. Ahead of USDA’s September WASDE report, the trade was focused on yield cuts, which had also been the principal output of various private sector crop tours during August. USDA cut corn and soybean yields, though by less than the average pre-market guess, and then found more area planted to corn and soybeans, and consequently more grain to be harvested. USDA cut 2025/26 corn carryout, though not by much, increased soybean ending stocks, and cut the amount of wheat overhang. Conversely, it raised global wheat carryout more than expected, lowered world soybean ending stocks more aggressively...
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.