The CBOT was mostly lower to end the week, but hints of strength were found in key markets. Specifically, July corn futures, while posting a loss for the day, managed to test $8 despite choppy, low-volume trade. The fact the corn market only settled 4 cents lower is notable given the massive meltdown that occurred in wheat. KCBT and CBOT wheat futures each posted 40+ cent losses on the U.S. dollar’s rally and rumors (though unlikely in WPI’s view) of renewed Russian/Turkish efforts to establish an export corridor for Ukrainian grain. Soybeans drifted sideways amid a lack of fresh news while bull soymeal/soyoil spreading occurred as the two product markets followed through on their respective bullish and bearish technical develop...
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.