Corn contracts went south again yesterday. June 2023, the most traded and new front month, fell to EUR 267 per ton and thus posted a daily decline of EUR 4.75. As with wheat, the prospect of an extension of the grain agreement for Ukraine had a price-dampening effect. According to statements by the Turkish foreign minister at a meeting in Qatar, Turkey and the United Nations are working intensively on extending the agreement. However, Russia again stressed that it would only agree to an extension if the interests of Russian agriculture were sufficiently taken into account. According to the Ukrainian Minister of Agriculture, around 22 million tons of grain have been exported across the Black Sea since the start of the agreement. Corn went north on the CBoT. The USDA announced two separate purchases of 110,000 tons of corn to Japan and 182,400 tons to an undisclosed destination. At 899,810 tons, weekly US export shipments were significantly better than in the previous week, although traders had expected larger shipments. The mood is still dampened by the unresolved trade dispute with Mexico.The US Department of Commerce is still negotiating the import ban on genetically modified corn, but a solution has not yet been found. Overall, however, the market continues to be supported by the severe drought in Argentina. Temperatures of over 40 degrees Celsius in the main growing areas further fuel concerns about the harvest.
Source
VR AGRICULTURAL
