Euronext wheat recovered slightly yesterday, following the guidelines from the USA. The front month recorded an increase of 0.50 euros/ton to 217.00 euros/ton. Shortly before the weekend, wheat contracts on the Chicago stock exchange also made a return and closed yesterday's trading day with moderate gains. For the most traded March, it rose by $3.00 US cents/bushel to the equivalent of 197.77 euros/ton. The pick-up in export deals in particular created a bullish mood and supported the return. The export figures from the USDA that will be published today are eagerly awaited in the USA. Due to the shortened trading week, these were not published on Thursday as usual. Market observers expect a range of 150,000 to 500,000 tons. This could significantly exceed the result of 128,100 tonnes in the previous week. According to initial findings, the tender of 360,000 tons advertised by Egypt was primarily covered by wheat from France and Russia. In Brazil, analysts have revised their forecast for this year's wheat production downwards to 8.3 million tons, while imports are expected to increase to 7.1 million tons.In yesterday's trading, corn prices in Paris did not find a consistent direction. While the front month was still able to gain marginally, the back dates were weaker and ended trading in the loss zone. Trading in the USA on the CBoT looked different. Here, corn contracts increased slightly across the board. The front month recorded a profit of $1.75 US cents/bushel and thus costs the equivalent of 160.69 euros/ton. According to the EIA (US Energy Administration), ethanol production fell by almost 8,000 barrels a day to 1.1 million barrels. Inventories, on the other hand, have grown to a new record high of around 25.7 million barrels. Meanwhile, it is reported from India that corn exports have only reached a volume of 30,000 tons. The strong domestic demand, due to the increased procurement prices (+8.8%), is particularly responsible for this, it said. The Middle Kingdom imported more corn in December than ever before this month; imports reached a volume of 5 million tons, bringing imports to 22.2 million tons for the year. This corresponds to an increase of 12.3% compared to the previous year.
ZMP Live Expert Opinion
Contrary to last week's developments, grain prices were able to recover slightly this week. Even if the courses did not always find a uniform direction. It remains to be seen whether global demand for grain will pick up again recently. Many buyers stocked up on goods as prices fell, so the markets are likely to remain under pressure.
You see historical data because you're not logged in or not a ZMP Live+ member. Get your information advantage now!
