Corn rose sharply yesterday. The March date in Paris rose by 6.75 euros/t and closed at 290 euros/t. The other contracts also increased significantly. In addition to positive wheat forecasts, the Ukrainian government's harvest estimate also supported the price structure. The Ministry of Agriculture in Kyiv estimates that the corn harvest there this year will be 23 million tons. In the previous year it was still 41.9 million tons. The harvest thus fell well short of the harvest result of 27 million tons forecast by the USDA. Due to hostilities, lack of fuel and low domestic prices, field work in many parts of the country has either not been possible at all or has even made it unprofitable. The Ukrainian Grain Union recently estimated that around a third of the corn stocks in Ukraine could not be brought in in time for the winter. The corn futures on the CBoT also had a clear green sign. Positive indications for soybeans and wheat also provided momentum here. In addition, US inventories of ethanol fell by 342,000 barrels in the past week. However, the fact that ethanol production also fell by 30,000 barrels per day had a price-limiting effect.
Source
VR AGRICULTURAL
