Weekly Agri- Commodities Recap: 01-05/04/24
Apr 09, 2024
The week began with lower CBOT wheat and corn prices following a rally triggered by the previous Thursday's USDA report. Concerns over Ukrainian exports and Saudi Arabia's increased wheat purchases were notable. US weekly export inspections showed mixed results, with wheat and corn exceeding expectations, while soybeans fell short. Traders awaited EURONEXT's reopening and monitored Russian and Ukrainian export activities closely.
Grain prices fell on Tuesday, reversing gains from the previous week amid favorable US winter wheat ratings and easing concerns over Russian wheat exports. Chinese customs' directives to limit foreign corn deliveries raised uncertainties over demand. USDA attachés released forecasts for various countries, including projections of record wheat harvests in India and Pakistan. India's call to refrain from purchasing new-season wheat aimed to support government reserves.
Wednesday saw US grains and oilseeds futures close higher, with wheat leading the surge due to Black Sea-related headlines and a weaker dollar. Reports of Ukrainian drone strikes and Russia's grain export restrictions added to market dynamics. Buyer activity increased with tenders announced by Tunisia, Jordan, and Iran. Non-commercial participants reduced net short positions in MATIF milling wheat despite price drops, reflecting cautious market sentiment amidst geopolitical tensions.
Grain prices ended mixed on Thursday, with attention shifting to US jobs data and weather forecasts. Tenders from Jordan and Tunisia contributed to market activity, while US weekly export sales showed modest results. Notable events included redirected US wheat shipments to China and drought concerns in the US winter wheat area. Outside markets, including oil prices and Fed discussions on rate cuts, influenced market sentiment.
Wheat prices closed the week higher amid rising tensions in the Black Sea region, while corn prices slightly declined despite supportive news from Argentina. Geopolitical developments, including Ukrainian strikes and Russian assaults, added to market uncertainty. France reported a decrease in wheat ratings, while Argentina revised its corn crop estimate downward. Funds maintained relatively stable positions in CBOT despite important USDA reports released earlier in the week.
Weekly Recaps
Commodities
Agri- Commodities:
6-10/1 /25 AGRI
Jan 13, 2025
Monday: Grain markets rebounded from Friday's losses, bolstered by a weaker dollar and pre-USDA report positioning. CBOT-denominated prices gained, though MATIF milling wheat remained an outlier. U.S. weekly export inspections showed mixed results, with wheat exceeding expectations while corn and soybeans remained within range. In Argentina, persistent hot and dry conditions continued to pose risks, while Brazil benefited from favorable weather. Kansas winter wheat conditions declined, adding concerns over the domestic crop.
Freight
Freight Recap:
09/01/25
Dec 12, 2024
The Atlantic market began with initial strength due to limited New Year tonnage, but rates flattened as more vessels entered the region. In the south, oversupply led to discounted rates, and forward fixing remained cautious. Spot vessels maintained premiums, but lack of fresh demand in the north and a long tonnage list saw rates ease, favoring charterers. EC South America faced additional pressure from long ballast lists and sub-index equivalent fixtures for early February.
Commodities
Agri- Commodities:
9-13/12 /24 AGRI
Dec 16, 2024
Monday: US wheat futures began the week on a positive note but struggled to maintain gains as MATIF wheat remained unresponsive. Corn saw slight upward movement, while soybeans softened ahead of Tuesday’s USDA report. The Russian wheat market showed resilience, with FOB prices for 12.5% protein wheat climbing to $228/ton, up $2 from the previous week. Concerns about the poor condition of Russian winter grains were tempered by IKAR analysts suggesting the reality may be less dire. Meanwhile, China’s Politburo announced aggressive economic stimulus measures, signaling a shift in fiscal and monetary policies, but these had minimal impact on grains. U.S. export inspections highlighted weak performance in wheat, with only 227k tons inspected, significantly below the previous week’s 299k tons.
Freight
Freight Recap:
19/12/24
Dec 12, 2024
Panamax transatlantic activity saw a modest boost as charterers sought coverage ahead of the holiday season, but an oversupply of tonnage in the East Mediterranean kept pressure on rates. Fronthaul routes remained lackluster due to weak demand from the Black Sea and continued ballasting toward Gibraltar, leaving the market constrained.
