August 1, 2023 – Update

The comment

US farm markets sold off on Monday. Corn prices slashed by 3.26%. Soybean prices tumbled 4.36%. The rest of the soy complex was also in the red, with soymeal falling 2.26%, while soyoil futures eroded 3.85% lower. Wheats dropped sharply, with Chicago SRW falling 5.47%, Kansas City HRW tumbling 5.08%, and Minneapolis spring wheat losing 4.49%. Chicago soybeans and corn fell, pressured by expectations of cooler, wetter weather across the U.S. Midwest in August. Wheat prices dropped, despite worries over Black Sea supplies, as no new major Russian attacks on Ukrainian grain infrastructure were reported over the weekend. Also, the ongoing seasonal harvest, weighed on wheat prices. Lingering demand concerns and spillover weakness from other commodities made an additional pressure. Meantime, traders also locked end month profits. To note durum wheat prices skyrocketed, bucking the overall trend, and the market is in highly overbought territory. In Europe grain and oilseed markets fell sharply on US drop, and Russia competition. Oil prices rallied to a fresh three-month high recording their steepest monthly gains since January 2022. The Baltic Exchange’s main sea freight index in London gained 1.5%, posting its second straight monthly gain. On Wall Street, US stock indexes posted modest gains, on positive global economic news. The DXI rose by +0.22%, recovering from early losses due to weakness in the yen, which fell to a 3-week low against the dollar, on BOJ’s unscheduled bond buy.

The markets

Chicago wheat Sep contract was down 38.4c/bu to 665.6c/bu;
Kansas wheat Sep contract was down 43.4c/bu to 812.6c/bu;
Minneapolis wheat Sep contract was down 40.2c/bu to 855.6c/bu;
MATIF wheat Sep contract, was down €7.75/t to €240/t;
ASX wheat Sep contract, was down A$3/t to A$395/t;
Black Sea wheat Sep contract was down $0.75/t to $240.25/t;
US DWI Cash (durum wheat index) was up 82.80c/bu to 1,032.50c/bu;
1CWAD (Canadian durum wheat) avg reg was up C$8.77/t to C$484.82/t;
EDW (EU durum) Sep contract, was up €23.25/t to €443.25/t;
Chicago corn Sep was down 17c/bu to 504c/bu;
MATIF corn Nov was down €5.50/t to €236.5/t;
Soybeans Sep contract down 62.4c/bu to 1370.4c/bu;
Winnipeg November canola contract was down C$25.1/t to C$784/t;
MATIF rapeseed Nov contract, was down €13.75/t to €445/t;
Brent crude Oct was up US$1.02 per barrel to $85.43;
WTI crude Sep was up US$1.22 per barrel to $81.80;
BADI (Baltic Dry Index) was up 17 points to 1.127;
Dow Jones was up 100.24 points to 35.559,53;
S&P 500 was up 6.73 points to 4.588,96;
NASDAQ Composite up 29.37 points to 14.346,02;
US dollar index (Sep ’23) was up 0.227 points to 101.626;
AUD/USD firmer at US$0.6708;
USD/CAD weaker at $1.3212;
EUR/USD weaker at $1.0997;
USD/RUB weaker at ₽91.7451.

That’s all, thank you.
We wish you a nice day.

Author: Sandro F. Puglisi

My Agile Privacy
Questo sito utilizza cookie tecnici e di profilazione. Cliccando su accetta si autorizzano tutti i cookie di profilazione. Cliccando su rifiuta o la X si rifiutano tutti i cookie di profilazione. Cliccando su personalizza è possibile selezionare quali cookie di profilazione attivare.
Attenzione: alcune funzionalità di questa pagina potrebbero essere bloccate a seguito delle tue scelte privacy