Volga Baikal AGRO NEWS Update on the World Market of Cereals and Oilseeds !!!
Markets showed gains in all commodities yesterday, on May 04, 2021, due to extreme weather conditions in Brazil and growing fears in France of chronic moisture shortages. Meteorologists expect precipitation in France in the coming days, but so far with rather low reliability.
In Paran, only 28% of corn is now in good or excellent condition, compared with 40% last week, 61% last year and 74% on average. In this context, Agritel analysts expect national production to be less than 100 million tonnes versus 109 million tonnes cited by the USDA in its report last month.
On the international stage, Tunisia has announced a tender for the supply of 50,000 tons of feed barley. Qatar is also trying to buy about 105,000 tonnes of feed barley.
Feed barley prices from the 2021 harvest are now lagging behind wheat prices due to less interest from China compared to last year.
Rapeseed continues to grow on the heels of other vegetable oils, including palm oil, despite concerns about demand from India, which has been hit hard by the pandemic. As for canola, traders will be awaiting Friday’s Statcan report on Canadian stocks as of March 31st.
Corn continues to drive grain markets, hitting an 8-year high. Against this backdrop, American farmers can increase the acreage for corn at the expense of soybeans, which will automatically lead to an increase in soybean prices. Wheat is supported by the growing interest of animal feed manufacturers.
Corn prices in Chicago yesterday for the next delivery contract were close to $ 7.50 a bushel, their highest since 2013.
Considering the upcoming weather conditions, the market should remain stable in the coming days, despite the current high levels.
The funds were very active again yesterday, on May 04, 2021. These players bought 22,500 lots of corn, 9,000 lots of soybeans and 5,500 lots of wheat.
Black Sea market
After a long Easter weekend, the physical market in the Black Sea region reopens this morning. Manufacturers are hoping that last week’s high price figures will continue. The price of corn has reached a new high for the current harvest.
Over the past week, the rise in world prices has pushed prices for corn, wheat and sunflower of the new crop to new highs. The psychological threshold of $ 250 per ton for two grains delivered to the port is now available to Ukrainian producers.
The week will be short but busy !!!