US wheat value settled 4pc lower on Friday before Monday’s public holiday. Brent crude prices were 6pc lower.
- Chicago wheat July contract down US44 cents per bushel to 1034.25c/bu;
- Kansas wheat July contract down 43.5c/bu to 1105c/bu;
- Minneapolis wheat July contract down 39.5c/bu to 1169.5c/bu;
- MATIF wheat September contract down €6.25/t to €391.50/t;
- Black Sea wheat July contract down $3.25/t to $411.25/t;
- Corn July contract down 3.75c/bu to 784.5c/bu;
- Soybeans July contract down 7.5c/bu to 1702c/bu;
- Winnipeg canola November 2022 contract down C$22.80/t at $1000.30/t;
- MATIF rapeseed November 2022 contract up €3/t to €760.25/t;
- ASX July 2022 wheat contract down A$0.50/t to $464.50/t;
- ASX Jan 2023 wheat contract down $5/t to $470/t;
- AUD dollar weaker at US$0.691
Friday’s trade saw markets square books before the Monday holiday. Crude oil prices fell 6pc amid reports the US President may restrict exports of diesel and unleaded petrol. Aside from that it is hard to explain the magnitude of the 44c/bu drop in Chicago SRW wheat price. French crop conditions worsened another 1pc, the 7th consecutive week of decline. Argentine weather is still dry. President Putin is showing no signs of letting up. European crop analyst Strategie Grains says the recent heat wave may further damage the French wheat crop. Euro zone consumer inflation jumped to a record 8.1pc for the year to May, unchanged from the preliminary figure for the month, but up from 7.4pc reported the previous month, amid soaring food and energy prices. Core inflation, which excludes food and energy prices, rose 4.4pc, up from the 3.9pc seen a month earlier.
Qantas and Airbus said on Sunday they would invest up to $200 million to accelerate sustainable aviation fuels (SAF) development in Australia to help meet the airline’s goal of lowering carbon emissions. The agreement, announced on the sidelines of global airline industry body IATA’s annual meeting in Doha, is in line with Qantas’ target of using 10pc SAF in its fuel mix by 2030 and comes after it placed a multi-billion dollar order for Airbus narrowbody and widebody aeroplanes last month.
The West must prepare for a long war in Ukraine as Russia makes incremental gains in a furious battle to control the country’s east, the NATO Secretary General Jens Stoltenberg and British Prime Minister Boris Johnson have both said. In separate comments published Sunday, Stoltenberg and Johnson also reiterated that Western governments must continue to support Ukraine to deter future aggression by Russian President Vladimir Putin.
Markets ended the week with most wheat and barley values unchanged. New crop canola was choppy all week. Friday saw more current crop liquidity as local depot grain picked up a bid and traded while delivered for July and August also found some levels that were happy to trade. ASX Jan 23 East Coast Wheat settled a buck firmer at A$473. Barley was unchanged with SA wide trade bid offer spread of $15/t.
The 8-day forecast is still looking relatively dry for southern Queensland and the northern half of NSW which will help keep the late plant momentum going.