Markets

Daily Market Wire 28 November 2023

Lachstock Consulting November 28, 2023

Grains eased, oilseeds firmed.

  • Chicago December wheat down 14.5c/bu to US534.25c/bu;
  • Kansas December wheat down 12c/bu to 590c/bu;
  • Minneapolis Dec wheat down 12.25c/bu to 684.5c/bu;
  • MATIF wheat Dec down €6/t to €213/t;
  • Black Sea wheat futures has not quoted since 11 August;
  • Corn December down 7.75c/bu to 455.5c/bu;
  • Soybeans May 2024 down 0.25c/bu to 1361.75c/bu;
  • Winnipeg canola May 2024 up C$4.70/t to C$708.40/t;
  • MATIF rapeseed May 2024 up €3.25/t to €446/t;
  • ASX January 2024 wheat up A$1.50/t to $391.50/t;
  • ASX January 2024 barley up A$0.50/t to $325.50/t;
  • AUD dollar up 21 points to  US$0.6607.

International

A severe storm on the Black Sea hit parts of Ukraine and southern Russia on Sunday night, killing at least four people and knocking out power to nearly 2 million, with strong winds continuing into Monday, impacting loading of grains and crude oil. Heavy snow also hit southern and central Ukraine. 

FranceAgriMer reports that as at 20 November, 2024-25 common wheat planting was 74pc complete (98pc previous year, 93pc avg), durum was 32pc (82pc, 66pc) and winter barley 86pc (99pc, 97pc). Common wheat condition rated at 83pc good/very good (86pc previous week, 98pc previous year), winter barley at 85pc (86pc, 98pc). 2023-24 maize harvest 98pc complete. 

Conab Brazil has pegged soybean planting at 75pc complete by 26th November compared to 86pc previous year. Planting in Rio Grand do Sul is only at 37pc complete compared to 65pc last year due to high humidity.

Safras & Mercado cut its 2023-24 Brazil soybean forecast by 1.9Mt, to 161.4Mt (154.6Mt previous year).

According to Ukraine’s Ag. Ministry, cumulative 2023-24 exports for the week ending 24 November are at 12.6Mt, down 26pc compared to last year, including wheat at 5.7Mt (-13pc), maize at 5.9Mt (-35pc) and barley at 0.9Mt (-36pc). 

The Trading Corporation of Pakistan has issued a tender (27 Dec) for 110,000 tonnes of optional origin wheat for Jan shipment. 

Bangladesh’s state grains buyer has issued an international tender (12 Dec) for 50,000 tonnes of milling wheat.

South Korea’s Feed Leaders Committee (FLC) reportedly purchased 52kt of feed maize from Brazil, at an estimated $260.90/t c&f, plus a surcharge for additional port unloading of $1.50, Dec/Jan shipment.

Australia

Rain rain go away! This week continues to be marred by the weather. Broadly growers and the trade are cautious as to what falls out the back end of this event, hence liquidity is slowing. We saw some up country feed homes relax bids by $15/t in attempt to flush out some panic sellers. ASX wheat continues its firmer tone as Vic harvest is threatened by quality downgrades, settling up $1.50/t at $391.50/t.

Rainfall totals continue to build across the eastern states with heavy rainfall on the forecast for today through SA and central and southern NSW which will shift further east into NSW and Vic tomorrow with thunderstorm and flood warnings currently in place for many regions. Totals are expected to be between 25-50mm over the next couple of days.

 

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