Weekly Agri- Commodities Recap: 15-19/04/24
Apr 22, 2024
The week began with lower CBOT prices and mixed MATIF milling wheat prices, reflecting a lack of sustained momentum from the previous week. Energy markets sold off amid hopes for de-escalation in the Middle East. Notable events included Egypt's GASC seeking wheat, USDA reporting private corn sales to Mexico, and US weekly export inspections showing strong wheat figures, especially to China.
Despite lower crop forecasts in major exporting countries, prices trended lower on Tuesday. Forecasts of decreased grain harvests in Ukraine, Germany, and France had little reaction from the market. Egypt's GASC purchase of Ukrainian wheat and Jordan's potential cancellation of a tender were significant developments. Geopolitical tensions and weather concerns remained vital factors influencing market sentiment.
Wheat prices initially rose but closed lower on Wednesday, driven by Kansas wheat, while corn traded within a narrow range. Tunisia and Jordan issued tenders for wheat, and Argentina revised its corn production estimate downward. Geopolitical tensions intensified as US-China trade relations faced potential strain due to proposed tariff increases. Non-commercial participants were buyers of MATIF milling wheat and rapeseed.
Market prices ended mixed on Thursday, with wheat mostly higher while corn and soybeans closed lower. Geopolitical tensions intensified following Israel's strike inside Iran, raising concerns of further escalation. The International Grains Council lowered global corn production forecasts, highlighting weather conditions as a decisive factor. US weekly export sales were within expectations, with notable cancellations by China.
The week concluded with favorable prices supported by a geopolitical risk premium. France maintained its soft wheat estimates, while SovEcon revised Russian wheat production forecasts downward. The Russian government approved an additional export tariff quota for grain, and India's wheat reserves reached a 16-year low. Funds increased their net short positions, indicating optimistic crop forecasts.
Weekly Recaps
Freight
Freight Recap:
18/04/25
Apr 18, 2025
The Atlantic market saw further pressure with rates declining across most routes. Despite some vessel movement toward South America on hopes of stronger grain activity, this has not translated into stronger sentiment. The region remains oversupplied, and charterers continue to dictate terms, keeping offers low and confidence weak.
Commodities
Agri- Commodities:
7/4- 11/4/25 Agri
Apr 15, 2025
Grain markets began the week relatively stable, despite heightened volatility in U.S. financial markets. The threat of escalating trade tensions between the U.S. and China remained a significant concern, as President Trump proposed additional tariffs on Chinese imports. In the grain markets, U.S. export inspections for soybeans and corn were strong, while wheat inspections fell short of expectations.
Freight
Freight Recap:
10/04/25
Apr 10, 2025
Atlantic: The market remained under pressure with falling rates driven by oversupply and limited fresh demand. While some activity was seen out of South America, it wasn’t enough to shift sentiment. Charterers maintained control, and offers remained far apart from bids, especially on transatlantic routes. Overall, market participants remained cautious, with attention also diverted by global financial uncertainty.
Commodities
Agri- Commodities:
31/3- 4/4/25 Agri
Apr 07, 2025
Grain markets kicked off the week digesting the USDA’s planting intentions report, which offered mild support to wheat and modest pressure on corn. However, corn still managed to finish higher for the old crop, while soybeans slipped slightly. Export inspections showed strong performance for corn and solid showings for wheat and soybeans. Winter wheat conditions held steady in Kansas but declined in Texas and Oklahoma. Market attention began shifting toward President Trump’s anticipated tariff announcement, raising questions over potential trade fallout.
