Getreide News, 06/Feb/2025

Looking back, there was a mixed mood on the grain markets last week, characterized by political turbulence and figures that led to an overall downward movement in the price of winter wheat. Apart from spring wheat, which defied this movement, good weather forecasts and new numbers weighed on sentiment. USDA reports in the middle of the week showed that sowing is progressing faster than usual, but only 45% of spring wheat stocks were rated as good/excellent.

Events surrounding Trump's tariff policy caused slight turbulence in the middle of the week. After a US trade court ruled that the tariffs he had imposed were unlawful, this decision was overturned by an appeals court the following day. Compared to the financial markets, however, this left wheat prices largely unimpressed. A mixed picture emerged at the end of the week: While winter wheat fell slightly or stagnated, spring wheat continued its upward trend. Export data was mixed - there were withdrawals for the old marketing year, while the new one started with solid sales figures. Speculative traders also reduced their net short positions somewhat. The price of maize came under pressure last week. The good growing conditions in the Corn Belt due to the favorable weather and the USDA cultivation data caused a downward movement at times. 87% of the corn area has already been planted, which is 2% more than the 5-year average. Even the temporary rise in ethanol production was unable to provide lasting support for prices. The falling US dollar is also contributing to the decline in prices. Positive harvest volume estimates also came from South America. All these factors led to a downward trend in prices.