Another day of losses with Chicago leading the fall.
- CBOT wheat down 12c to 487.75c,
- Kansas wheat down 9.25c to 492.75c,
- Corn down 8.25c to 376.5c,
- Soybeans down 35.25c to 964.25c,
- Winnipeg canola up $C1.1 to $C499.5,
- Matif canola down €5.5 to €366.25,
- Dow Jones up 72.79 to 21963.92,
- Crude Oil down 37.9c to $48.78c,
- AUD down to 0.7943c,
- CAD up to 1.2557c, (AUDCAD 0.9973),
- EUR down to 1.1795c (AUDEUR 0.6732).
Chicago and Kansas wheat were holding their ground throughout the session, displaying losses of only 2c and 3c respectively, before stumbling into a close well below their moving average. IKAR has pegged the Russian crop at 74-77 million metric tonnes, compared with earlier predictions of 72-75mmt, and with a coinciding export idea of 31.5mmt compared with 29.5mmt previously. Global crop quality remains a concern due to indifferent growing conditions, and will remain a talking point for some time. Areas of concern continue to be Canada, Australia and the EU.
Corn and soybeans
After a loss of 8c overnight, corn has hit its weakest levels since September, despite conditions being brought down by 1pc due to the considerable crash in the soybean market. The determining factors behind the decline came off the back of a 2pc improvement in bean crop conditions, coupled with a favourable weather forecast. The significance of this forecast is that the upcoming rainfall is predicted for Iowa, which has missed out over the past few weeks. As a result, the full potential of the Iowan crop may be reached.
Domestically, the eight-day forecast remains relatively positive for many areas that are well overdue for a drink, including the Eyre Peninsula and some cropping regions of NSW. Western Australia’s Upper Great Southern forecast has improved, with rainfall of up to 25mm forecast in some of its eastern regions. The once-predicted offshore rainfalls in Queensland are now providing some areas near Mackay and in the Fitzroy with some optimism, as they may make their way inland.
Source: Lachstock Consulting