Weekly Agri- Commodities Recap: 15-19/07/24
Jul 22, 2024
European wheat futures fell to a three-month low on Monday due to large U.S. and Russian harvest expectations and poor French crop prospects. Chicago wheat prices also dropped following a USDA report on higher U.S. production. Corn futures hit record lows amid favorable Midwest weather. Russia's IKAR raised its wheat crop forecast to 83.2 million metric tons. U.S. crop conditions remained stable, with spring wheat at 77% good/excellent.
On Tuesday, CBOT September corn rose slightly as traders took advantage of low prices. Wheat futures continued to decline, pressured by the Northern Hemisphere harvest and cheap Russian wheat. Egypt's GASC bought 770,000 metric tons of wheat, primarily from Russia. Ukraine exported 2.3 million metric tons of agricultural goods, with significant volumes of corn and wheat.
Wednesday saw modest gains in CBOT corn, though favorable Midwest weather capped increases. Wheat prices stabilized with a weaker dollar, and European wheat futures rose due to strong import demand. Algeria's OAIC purchased 770,000 metric tons of milling wheat. Jordan did not buy barley but plans a new tender. Romania reported drought damage to corn and sunflowers, with less impact on wheat.
On Thursday, Central and Northern European wheat markets paused as harvests began, with lower protein levels but higher yields. The Black Sea region sold 1.6 million metric tons of wheat for August and September. Tunisia announced a tender for 100,000 metric tons of animal feed barley. The International Grains Council raised its global grains production forecast, though stocks are expected to fall.
European wheat futures rose 4% on Friday due to poor French crop conditions. Ukraine's harvest reached 13.8 million metric tons, with significant wheat volumes. Tunisia likely purchased 100,000 metric tons of feed barley. CFTC-CBOT data showed a reduction in wheat speculators' short positions. Russia's IKAR revised its grain harvest forecast down to 128 million tons, with expected drops in barley and corn production.
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.
