Friday’s grains settlements were mixed, oilseeds firmer.
- Chicago wheat March contract up 0.75 cents per bushel to 524.5c;
- Kansas wheat March contract down 4.5c/bu to 431c;
- Minneapolis wheat March contract down 1.75c/bu to 512c;
- MATIF wheat March contract up €0.25 per tonne to €183.25/t;
- Corn March contract unchanged at 376.75c;
- Soybeans January contract up 5.25c/bu to 889.5c;
- Winnipeg canola January contract up C$3.90/t to $458.40/t;
- MATIF rapeseed February contract up €2.50/t to €397/t;
- Brent crude February contract up US$1 to $64.39 per barrel;
- Dow Jones index up 337.27 points to 28,015.06 points;
- AUD weaker at $0.6836;
- CAD weaker at $1.3252;
- EUR weaker at $1.1060.
Wheat finished the week decidedly undecided.
After spending most of the session lower, Chicago wheat managed to print a positive close, albeit just. Kansas and Minneapolis finished the other side of unchanged while French and Russian wheat closed up slightly.
Some bullish inputs are still bubbling under the surface of the wheat market – French planting pace is certainly a concern given they are sill 10-15pc from getting the crop in. There’s some increased talk that China will wave tariffs on some soybean and pork parcels but, as has been the case for this whole process, details are lacking.
Slim Aust chance at tender
The Philippines is back in for 168,000t of wheat which will be super interesting for Victorian feed wheat.
Values have been trading around $310-320/t delivered port which roughly translates to US$247-255/t cnf which should, even with the tax incentive be slightly above an aggressive Argentine offer.
However, should Australia win this business the Victorian balance sheet gets closer to achieving full year exports.
Extreme heat brings crops on
Locally, harvest conditions over the weekend were on point through most of the country.
Once we pass today’s scorcher we are set for a good week ahead to ramp up the pace through Victoria.
Canola harvest is underway through western Victoria, early reports of good yields and oils up around 45pc.
Aussie markets finished off the week higher across the boards, with delivered Geelong/Melbourne BAR1 up around $20/t.
ASX Jan wheat contract finished a fraction lower on Friday settling at $342/t while the barley contract settled at $276/t vs Vic track markets around $280/t.
A good week of harvest ahead.
Do more tonnes come to the market and fulfil the December domestic slots?