CBOT corn prices went down 2.5%, wheat lost 0.8%

05.06.2018

WHEAT. Over the period under review (May 24-31), CBOT wheat prices lost 0.8%, reports UkrAgroConsult. The US wheat export spot prices (SRW) went down by USD 3/MT (June delivery), while French wheat supply prices continued to grow (+USD 2/MT).

French wheat prices strengthened on the weather factor, as well as improving wheat exports from the EU countries.

Wheat market is still under the influence of weather conditions in several top wheat exporting countries. Dry weather was seen in the Black Sea countries, as well as in Australia. In the USA rains were observed only in the north of the Plains and in the Corn Belt. Fears for the future crop arise in western part of the EU due to excessive precipitation and hail in France. Frosts were seen in producing regions of Argentina. Favorable conditions for crops development were seen only in Canada and India, where long-awaited rains began.

CORN. During the reporting week (May 24-31), CBOT corn prices went down 2.5%. Over the week, the US corn export prices lost USD 4/MT (June delivery), while Argentinean corn supply prices went down USD 6/MT, reports UkrAgroConsult.

The price reduction was conditioned by pessimism in the market regarding further trade relations between the USA and China, as well as between the USA, Canada and Mexico, given the new import tariffs for aluminum and steel for NAFTA countries.

Moreover, the pressure on prices was provided by information on gradual completion of corn sowing in the USA. Sowing campaign is coming to an end (92% of the intended area, 90% - the five-year average) amid favorable weather conditions in the Corn Belt of the USA.

In Brazil, the attention shifted from the weather factor to the strike of truck drivers. Despite the government's decision to subsidize diesel prices, which drivers considered too high, the strike continued to hamper exports of commodities from Brazil.

Check up prices and enjoy free online charts on UkrAgroConsult’s website. Daily updated commodity exchange prices (CBOT, ASX, BCE, MATIF, WCE, LIFFE) and cash market quotations for wheat, corn, barley, soybean, sunflower and other agricultural commodities in Ukraine, Black Sea region and world are available in section "Prices and Futures".

 

UkrAgroConsult

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