What's Behind Commodity Price Volatility and Widening Price Basis?  Recent Congressional Hearings and a listening session by the Commodity Futures Trading Commission (CFTC) sought to better understand factors that have contributed to recent increased volatility of futures market prices for a number of agricultural commodities. Failure of cash and futures prices to converge at delivery has been making futures less useful in serving an effective hedging tool.  Substantial increases in commodity price levels as well as price basis, the difference between cash prices and prices of nearby futures contracts, are being blamed by some observers on speculation by funds, government support for biofuels, energy prices as well as tight supplies, limited carryover stocks and other factors.  Market Solutions LLC recently examined changes in price basis for soybeans and other crops in different parts of the country, and the role that rail transportation costs have been playing in widening basis.  Preliminary findings have been cited in a number of recent articles. (Visit our Newsroom for details.).  Additional analysis is underway.

Market Assessments, Feasibility Analysis and Business Plan Development Support for a variety of production, processing, handling, storage, distribution, transportation and transloading facilities. We have examined facilities involving rail, barge, truck, air and ocean freight shipments and a variety of different port locations.

Market and Economic Impact Analysis and Expert Witness Testimony. Market Solutions LLC has provided in-depth economic analysis, depositions and expert witness testimony in legal proceedings and before government agencies. We have also conducted a variety of studies for attorneys representing our clients. Some have suggested that our credibility as Expert Witnesses is enhanced because such testimony is not our primary business activity. We are widely recognized for our ability to present results of complex, in-depth analysis, clearly and succinctly, in ways that are easily understood by a variety of audiences.