The grain market at the beginning of the week

• The various reports released in the last period are still being passed calmly, and the grain markets started the week in a neutral tone.

The quote of €230-240/t is still in place for wheat and no new factors seem to be making their presence felt to upset the situation. After the Northern Hemisphere balance sheets have been released, attention is gradually turning to the Southern Hemisphere. In Argentina, more than 10% of the work in the fields has been completed, but for the moment this is not enough to give a real picture of the losses caused by the lack of water in recent months.

In France, the focus is still on the plains, while the weather continues to be less favourable. Winter grain plantings are behind schedule, and while the window of opportunity remains open, some producers will already be forced to revise their crop rotation.

As for oilseeds, the situation is different, with the European market managing to recover from EUR 430/t on February maturity and gain over EUR 13/t in the first session of the week. The slowdown in Ukrainian flows was compounded by poor soybean growing conditions in Brazil, and the entire oilseed complex rose. In the near-term, traders are closely watching palm oil as the decline in Malaysian production settles in for the coming months.

Soybeans remain the fastest-growing agricultural commodity in the United States, while Brazil continues to face seeding difficulties. The information flow for this product is gradually changing, which explains the new price firmness. With the ratio of soybeans to corn already at high levels, the main American grain is following the trend of its counterpart.

In terms of exports, USDA reported exceptional sales of 143.637 t of corn to Mexico and 204.000 t of soybeans to China yesterday.

In the United States, harvest conditions for winter wheat are worsening, down 3 points to 47%. At the same time, 88% of the corn crop was harvested, compared to 95% for soybeans.

Euronext, 13.11.2023 (GMT+1)

Wheat (€/t)

Maize (€/t)

Rapeseed (€/t)

Article written by Gabriela Dan, Editor of Arta Albă

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