Weekly Agri- Commodities Recap: 19-23/08/24
Aug 26, 2024
On Monday Grain markets opened the week with mixed results. Corn and soybeans recovered from oversold levels, aided by solid U.S. export data and private sales, including 332,000 tons of soybeans to China. However, December MATIF wheat futures fell to new lows due to a stronger Euro and increased Russian wheat exports, which saw prices drop to $218 per ton FOB. Egypt's Supply Minister reaffirmed plans to secure 3.8 million tonnes of wheat by year-end.
On Tuesday Wheat futures continued to struggle amid a stronger Euro. U.S. wheat futures saw modest gains, while corn and soybean prices dipped slightly. Russia maintained its grain harvest forecast, though SovEcon increased their wheat production estimate. Tunisia issued a tender for 75,000 tons of soft wheat, and Jordan canceled its wheat tender. The USDA reported private soybean sales of 132,000 tons to China and 239,500 tons to Mexico. Pro Farmer Crop Tour results showed slight increases in Indiana and Nebraska corn yields but fell short of USDA projections.
Middle of the week, Wheat futures dropped over 2%, while corn prices held steady and soybeans gained. A potential Canadian rail strike created market uncertainty. In India, high wheat prices led to calls for government intervention and the removal of import taxes. Tunisia purchased 75,000 tons of soft wheat at prices between $242.99 and $246.00 per ton. Pro Farmer Crop Tour reported Illinois corn yields up 5.4% year-over-year, with mixed results in Iowa. Non-commercial traders’ short positions in MATIF milling wheat exceeded 100,000 contracts.
On Thursday, Grain prices fell, with wheat futures hitting new lows. U.S. export sales were robust, including 493,000 tons of wheat, 1.41 million tons of corn, and 1.63 million tons of soybeans. Jordan issued new tenders for wheat and barley. Pro Farmer Crop Tour reported a decrease in Minnesota corn yields to 164.9 bu/a, while Iowa yields matched USDA expectations at 192.79 bu/a (considering historical differences). The market awaited further Fed commentary from Jackson Hole.
End of the week, Soybean prices rose, supported by strong export sales and higher energy markets. Corn and wheat prices reached new lows. Pro Farmer estimated a national corn yield of 181.1 bu/a, below USDA’s forecast, and a soybean yield of 54.9 bu/a, above USDA’s estimate. The USDA reported a private sale of 120,000 tons of soybeans. Fed Chair Powell’s Jackson Hole speech suggested imminent rate cuts, strengthening the EUR/USD. Funds reduced their net short positions in CBOT wheat but increased short positions in corn and soybeans.
Weekly Recaps
Commodities
Agri- Commodities:
23–27/06/25 Agri
Jun 30, 2025
The week opened with a sharp pullback across grain markets as the geopolitical risk premium evaporated following U.S. President Trump’s announcement of a ceasefire between Iran and Israel. While the truce remained fragile—lacking official confirmation from Israel—market sentiment quickly pivoted back to fundamentals. Pressure mounted as U.S. crop conditions were mixed and EU wheat yield projections were revised higher, particularly in southern and eastern Europe. U.S. export inspections provided little optimism, with soybeans and wheat underperforming, and fund positioning indicated heavy corn selling alongside increased soybean buying.
Freight
Freight Recap:
26/06/25
Jun 19, 2025
The Panamax market continued to show resilience this week, holding around the USD 12,800/day level on the 5TC index. Gains were seen across both basins, driven by steady demand and tightening tonnage in key loading areas.
Commodities
Agri- Commodities:
16–20/06/25 Agri
Jun 23, 2025
Monday opened with wheat and corn giving back gains from the prior session, pressured by generally favorable U.S. crop outlooks. Corn conditions improved to 72% good-to-excellent (G/E), aligning with last year’s level, while soybean ratings declined to 66% G/E. Winter wheat condition unexpectedly slipped, and harvest progress remained significantly delayed. Export inspections showed continued strength for corn, while soybean oil surged on tighter-than-expected NOPA stocks. Geopolitics hovered in the background as Iran signaled a desire to avoid escalation with Israel, while Turkey offered to mediate talks.
Freight
Freight Recap:
19/06/25
Jun 19, 2025
The Panamax Atlantic market showed signs of plateauing this week, with reduced spot activity prompting concerns of near-term softening. North Atlantic visibility remained limited, with owners and charterers continuing to disagree on rate expectations, leading to a widening bid-offer gap.
