Markets traded higher overnight and opened that way this morning, but the soy complex quickly gave way. Weather threatens shipments down the Mississippi, yields in Argentina and southern Brazil, Ukraine, and other places as well. But it is still a buyers’ market. A decent USDA Export Sales report may, in part, show the benefits of a weaker dollar. But competition remains stiff, especially in a wheat market that stays on track despite large supplies. Moving those supplies down the major central river systems has become difficult. Low water levels are now complicated by ice, with the Illinois River nearing impassable conditions. The result is corn basis levels jumping to 15 cents/bu in some places as exporters seek to...
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.