“It ain’t over till it’s over” … 

India bans wheat exports as heat wave hurts crop, domestic prices soar …

Meantime, US farm markets closed out this heart pounding week’s in a mixed mode.

The wheat complex led the charge and despite a mixed close on Friday, with Chicago closing slightly lower while KC HRW and the MGE spring wheat were higher, ended the week with substantially gains.

July contracts, indeed, were up 6.22% for CBOT, 9.53% in KC and 9.62% for MGE.

Traders considered lower production estimates and poor crop quality noted in recent USDA reports, including Thursday’s World Agricultural Supply and Demand Estimates (WASDE) report. 

Meanwhile, fresh U.S. export optimism, coupled with a downturn in Brazilian exports, helped push soybean prices 1.51% higher for the week, of which a big chunk of that between Thursday and Friday. 

While soymeal continued to be the drag on the market, down 1.04% for the week, soy oil jumped 3.57% from Friday to Friday.

Corn failed to follow suit and after a round of technical selling, closed with weekly losses of almost 0.45%.

Going inside the numbers, CBOT corn prices, closed down $0.035 at $7.81/bu. 

CBOT soybean prices finished the week $0.245 stronger at $16.47/bu.

Soymeal fell by $4.3/smt for the week at $409.3 smt.

Soy oil gained $2.89 cents, to close at $83.79.

CBOT soft red winter (SRW) prices gained by $0.690 to close at $11.78/bu. 

KCBT hard red winter (HRW) prices jumped $1.115 ending at $12.82/bu.

MGE hard red spring (HRS) prices roketed up by $1.163 to close at $12.82/bu.

Meantime, as of May 12, 2022, US corn 3YC (Gulf) was at $362/mt (up $2/mt from last week).

US soybean 2Y (Gulf) quoted at $658/mt (down $7/mt from last week).

As for wheat, US wheat No 2 Hard Red Winter (HRW) was valued at $538/mt (up $36/mt from last week).

US wheat No 2 Soft Red Winter (SRW) was at $476/mt (up $29/mt from last week).

Per latest data released in USDA’s National Ethanol report, corn oil cash market showed prices were from 81 cents to 82 cents/lb regionally. 

That was weaker with last week’s 81.75-83.3 c/lb market. 

DDGS FOB prices were down on the week, with USDA quoting bids from $290 to $295/ton in the Gulf and $365 in the PNW. 

Last week’s bids were $292-$300 and $370/ton respectively. 

Cash ethanol prices averaged $2.65-$2.87 regionally, up from last week when were between $2.64-$2.79/gal. 

Meanwhile gasoline futures ended the week at $3.7917, that was up from $3.7234/gal posted last week.

USDA reported the B100 cash price unquoted through the week that ended 5/13. 

That was at $7.53 last week. 

USDA’s weekly Crush report showed the estimated processing value of soybeans was $20.44/bu on $16.97 cash beans. 

That compared to $20.29/bu reported prior week on $16.44 beans.

In this context, corn basis bids were steady to mixed across the central U.S. after dropping 7 cents at an Illinois river terminal on Friday, while firming 3 to 6 cents higher at two other Midwestern locations.

Soybean basis bids were steady to mixed across the central U.S., after firming 5 cents at an Indiana processor while sliding 4 to 8 cents lower at two other Midwestern locations.

As for wheat, basis this week was down in the Gulf and mixed in the Pacific Northwest (PNW). 

Basis for most wheat classes is competing against higher futures prices and resulting slow export demand. 

Meantime, the Friday Commitment of Traders report showed specs in corn futures and options trimming back their net long position by 14,456 contracts. 

That took them to a net long 338,562 contracts as of Tuesday.

As for soybean, the report indicated money managers in soybean futures and options trimming 22,592 contracts from their net long position to 130,661 contracts as of 5/10.

As for wheat, the report showed managed money in Chicago wheat adding 4,641 contracts to their net long position as of 5/10 to 15,547 contracts. 

In KC wheat futures and options, their increased their bullish bet by 2,964 contracts during the reporting week to a net long 42,913 contracts.

In energy markets, oil prices rose about 4% on Friday.

U.S. gasoline futures soared to an all-time high after stockpiles fell last week for a sixth straight week. 

Automobile club AAA said U.S. prices at the pump rose to record highs on Friday of $4.43 per gallon for gasoline and $5.56 for diesel.

In China, authorities pledged to support the economy and city officials said Shanghai would start to ease coronavirus traffic restrictions and open shops this month.

This week, Moscow slapped sanctions on several European energy companies, causing worries about supplies thus, investors worried supplies will tighten if the European Union bans Russian oil.

As a consequence, on Friday Brent futures rose $4.10, or 3.8%, to settle at $111.55 a barrel. 

U.S. West Texas Intermediate (WTI) crude rose $4.36, or 4.1%, to settle at $110.49.

For the week, WTI gained around 0.66%, while Brent fell 0.75% 

That was the highest close for WTI since March 25 and its third straight weekly rise. 

While the Brent fell for the first time in three weeks.

In freight markets, the Baltic Exchange’s main sea freight index slipped on Friday, but registered its fifth consecutive weekly rise bolstered by gains in the capesize vessel segment.

The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, indeed, fell 13 points, or 0.4%, at 3,104 points on Friday. 

It was up 14.2% this week.

Particularly, the capesize index fell 18 points, or about 0.5%, at 3,947 points, but rose 36.4%, also logging its fifth consecutive weekly gain.

Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore and coal, were down $152 to $32,733, but rose by 8731 week on week.

The segment, indeed, had the wind in its sails during the week as rates jumped in all regions. 

While the Shanghai Covid situation continues to hamper vessel movements across all sectors, the Capesize market appears able to push as good tonnage demand comes from Brazil and Australia. 

The C5 West Australia to China route now sits at $15.077 – and the C3 Brazil to China route at $34.64 – both just off their high attained on Thursday for the year. 

These voyage levels equate to C14 Brazil China ballast of $31,050 and C10 Transpacific of $37,792. 

The Backhaul C16 continues to amaze and disrupt, settling the week at $28,500, over $5,000 above the Transatlantic C8, with some suggesting this is the new fronthaul route. 

This high valuation continues to be largely driven by coal demand to Europe as energy prices remain at high levels.

The panamax index was down 27 points, or about 0.8%, at 3,283 points on Friday. 

Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, decreased $245 to $29,545.

It was a mixed week, but the segment gained 3.4%, its second straight week of gains.

After a positive start, activity and sentiment softened at close. 

Particularly, in the North Atlantic an 80,000-dwt open Spain fixed a trip North Coast South America to Saudi Arabia with redelivery Skaw-Passero at $28,000. 

A 85,000-dwt open Jorf Lasfar fixed via North Coast South America to India at $45,000. 

In East Coast South America activity slowed, but a 81,000-dwt fixed from Recalada to South East Asia at $27,500 plus a ballast bonus of $1,750,000. 

In the Pacific, activity remained positive with a 82,000-dwt fixing from China via North Pacific USA back to Singapore-Japan Range at $27,000. 

A 85,000-dwt fixed from North China via East Coast Australia. 

Period has also been active with 82,000-dwt open in the Persian Gulf fixing for nine to 12 months with worldwide redelivery at $29,000. 

A 82,000-dwt open in China was fixed for six to eight months at around $31,000.

The supramax index gained 2 points to 2,752 points on Friday.

It was a rather positional week with mixed sentiment in many areas. 

The Atlantic saw a slight correction in the US Gulf as rates eased, whilst more enquiry was heard from the South Atlantic as the week closed. 

From Asia, better levels were seen generally. 

However, a lack of coal imports from Indonesia to China tempered rates. 

Period activity remained but most activity was kept under the radar. 

A 63,000-dwt open Turkey was fixed 10-12 months trading at around $30,000. 

Pressure eased from the US Gulf and a 56,000-dwt was fixed for a transatlantic run redelivery East Mediterranean at $40,000. 

Elsewhere, a 58,000-dwt open West Africa fixed a trip to China at $35,000. 

From Asia there was limited activity, but a 56,000-dwt open Indonesia fixed a trip to Thailand at $24,500. 

Good levels were seen in the Indian Ocean with a 55,000-dwt fixing a trip delivery South Africa to the Far East in the low $30,000s plus mid $600,000 ballast bonus.

As for Handysize segment, the BHSI remained positive in general. 

However, the US Gulf made significant negative moves as a 38,000-dwt fixed from the US Gulf to Spain with an intended cargo of coal at $30,000. 

A 36,000-dwt also fixed from Savannah to the UK–Continent range with an intended cargo of woodpellets at $30,000. 

A 37,000-dwt was fixed for a trip from Houston to the Eastern Mediterranean with an intended cargo of petcoke at $35,000. 

East Coast South America appears to have reached a ceiling at present with levels stabilising and a 30,000-dwt fixing from Itaqui to the Black Sea excluding Russia and the Ukraine at $35,000. 

A 36,000-dwt was rumoured to have fixed from Recalada to West Coast South America at $52,000. 

In Asia a 38,000-dwt open China was fixed for a minimum of four to about six months at $36,500 and a 38,000-dwt open in South Korea fixed for three to five months at $35,500.

On week 19, there is a tendency for lower freight rates in the Azov and Black Sea region

Thus, deals for 3K parcels of wheat from Azov to Marmara Sea ports are concluded for $35 per ton, Sea Lines shipbrokers report.

After the holidays, the grain market has become somewhat more active, but there are much fewer transactions than in mid- and late April. However, the collapse of the freight market is likely to stop, and the rates will not be changing as drastically as it was the case during the last few weeks, Sea Lines expect.

Many shipments of Russian wheat and wheat pellet bran are expected in the coming weeks, primarily to Turkey.

In the Black Sea, there are a lot of shipments of Ukrainian grain from the ports of Reni and Izmail, as well as from Romanian and Bulgarian ports to a variety of destinations, which results in the high level of rates in the region being maintained.

According to Sea Lines, on week 19, freight rates for wheat parcels from Azov made $33 to the Black Sea, $35 to Marmara, $50 to Mersin and $53 to Egypt.

Freight rates from Rostov AB (after bridge) are $1 above, from Rostov BB (before bridge) the same, from Yeisk and Taganrog $1 below, and from Temryuk $3 below those from the port of Azov.

In the Caspian, freight rates went updown.

On week 19, freight rates for shipping corn by 3,000 dwt bulkers to Iran make $21 from Aktau, $27 from Makhachkala, and $34 from Astrakhan.

In equity markets, Wall Street closed out another volatile week of trading with a broad rally Friday, though it wasn’t nearly enough to keep the market from its sixth straight weekly drop, the longest such streak since 2011.

The S&P 500 climbed 2.39% or 93.81 points to 4,023.89. 

The index is now down 15.6% for the year. 

The Nasdaq rose 3.82% or 434.04 points to 11,805

The Dow gained 1.47% or 466.36 points to 32,196.66.

The upbeat finish still left the indexes with weekly losses of more than 2.4% each, extending the string of weekly declines to six weeks for the S&P 500 and Nasdaq, while the Dow registered its seventh straight weekly drop.

Smaller company stocks also staged a solid rally. 

The Russell 2000 gained 53.28 points, or 3.1%, to 1,792.67.

Technology stocks led the gains Friday. 

Twitter fell 9.7% while Tesla rose 5.7%.

Apple rose 3.2% and Microsoft rose 2.3%. 

Retailers and communications companies also made solid gains on Friday. 

Amazon jumped 5.7% and Google’s parent rose 2.8%.

Trading platform Robinhood Markets Inc surged 24.9% after Samuel Bankman-Fried, the chief executive and founder of cryptocurrency exchange FTX, revealed a 7.6% stake in the brokerage app company. 

Warren Buffett’s Berkshire Hathaway disclosed buying more shares of Occidental Petroleum, sending the oil company’s shares up 8.2%.

Bond yields rose significantly. 

The yield on the 10-year Treasury rose to 2.93% from 2.82% late Thursday.

Bitcoin steadied around $30,000 late Friday after dropping to around $25,420 earlier this week, its lowest level since December 2020, according to CoinDesk. 

Only six months ago it was over $66,000.

Technology stocks, has been behind much of the broader market’s volatility throughout the week, which has been slipping overall, as investors prepare for higher interest rates, which tend to weigh most heavily on the priciest stocks.

Traders are worried that the Federal Reserve may not succeed in its delicate mission of slowing the economy enough to rein in the highest inflation in four decades without causing a recession.

The Labor Department issued reports this week that confirmed persistently high consumer prices and wholesale prices that affect businesses.

In currency trading, EUR/USD on Friday rose by +0.0033 (+0.32%) to 1.0412, recovering from a 5-1/4 year lower.

Weakness in the dollar sparked short-covering in the euro.  

Also, EUR/USD found support from Friday’s data that showed Eurozone March industrial production fell -1.8% m/m, a smaller decline than expectations of -2.0% m/m.  

EUR/USD Friday initially fell t a 5-1/4 year low on geopolitical tensions in Europe after Germany said Russia reduced gas flows to the country in retaliation for EU sanctions on Russia.

USD/JPY on Friday rose by +0.88 (+0.69%) to 129,21.  

USD/JPY moved higher Friday as higher T-note yields undercut the yen as the 10-year year T-note yield rose +8.5 bp at 2.933%.  

The yen was also under pressure after Japan’s Nikkei Stock Index Friday rose +2.64%, which reduced the safe-haven demand for the yen.

In this context, the dollar index (Jun ’22) on Friday fell from a new 19-year high and posted moderate losses by -0.276 (-0.26%) to close at 104.621.  

The rally in stocks Friday curbed liquidity demand for the dollar and sparked long liquidation in the dollar.  

Also, a bigger than expected decline in the University of Michigan U.S. May consumer sentiment to a 10-year low weighed on the dollar.  

The dollar Friday initially climbed to a new 19-year high on higher T-note yields and weakness in the yuan, which fell to a 19-month low against the dollar.

For the week, the EUR/USD fell 0.0136 points or – 1.29% and the USD/JPY shedded 1.36 points or – 1.04%.

The dollar index (Jun ’22) rose by 0.927 or 0.89%, adding that to 0.71% gains of prior week. 

From Canada, as of May 09, 2022, Canadian wheat prices for FOB delivery West Coast were (Cdn$/mt): 

– for the N1 class CWRS 13.5% – $621.30 per tonne, up C$22.98/t from prior week; 

– for the N2 class CWRS 13.0% – $620.71/t, up C$30.45 wow;

– for the N3 CWRS – $615.10/t, up C$35.28 from prior week.

As of May 09, 2022, for the N1 CWAD 13% (durum wheat first class) deferred average prices for delivery in May/Jun ’22 were at C$514.42 down C$36.74 week on week.

However, export basis West Coast & Central SK jumped from C$ 217.03 to 257.56 per tonne, as delivered FOB price Great Lakes was posted at C$ 771.98, up C$3.79 from prior week.

As of May 11, 2022, Durum wheat – CA St Lawrence (CWAD) was valued at C$750.03/t, up $12.19/t from prior week.

As of May 13, 2022, for the N1 CWAD 13% (durum wheat first class), average street prices in REGIONAL ZONES were at C$570.75 per tonne, down C$1.28 from prior week. 

(1USD=Cnd$1.3044 up from past week when was 1.2832).

From South America, as of May 12, 2022 – Argentina Wheat Grade 2 export price, (Up River) was at $460, up $3 from prior week.

Argentina corn feed was down $3/t for the week, closing at $311.

Brazilian corn feed (Paranagua) was valued at $334, down $6 from prior week.

Argentina feed barley, was unchanged to $370.

Argentina soybean was down $10 at $633.

Brazilian soybean fell $5 finishing the week at $652.

In Europe, September’s wheat prices closed the week at €416.5/t up €19 from past week. 

June corn price was 1.25 euros lower for the week, closing at 360.25 euros per ton.

Rapeseed for August deadline, jumped €28.5/t for the week, to close €870.5/t. 

June-22 UK feed futures closed at £347.60 /t, up £17.05/t week on week. 

Meantime, as of May 12, 2022, FOB prices in US dollar for French wheat with 11.5% protein and May delivery, were at $430/mt, up $9 from prior week.

German wheat Deposilo Hamburg, was at $423.77/t, down $8.7/t from prior week.

Baltic wheat, delivery first Vilnius, was at $347.76/t, down $0.32/t from prior week.

French durum wheat – basis La Pallice, was at $489.36/mt, down $1.12 from prior week.

Italian durum wheat Bologna (Delivered to first customer), was valued this week at $547.67 per tonne down $7.15 from past week.

Corn, delivered Bordeaux port was at $374.83 per tonne, up $0.38/t from past week.

Corn FOB Rhin Spot – July 2021 basis was down $11.13 to $367.54/t.

Feed barley FOB Rouen was at 393.57$/t, up $3.29 per tonne.

Malting barley FOB Creil Spot – July 2021 basis was at $458.13 per tonne, up $25.66/t from prior week.

Rapessed FOB Moselle – 2021 harvest was at 894.39$/ton, down $16.96 compared to prior week.

Standard sunseed FOB Bordeaux – 2021 harvest was down 19.01$ from prior week at $1051.61 per tonne.

(Eur/USD = 1.0412 vs last week 1.0548).

From North Africa, Morocco’s agriculture ministry said on Friday that it expects a cereals harvest of 3.2 million tonnes in 2022, down 69% from last year, due to drought.

The soft wheat harvest would stand at 1.76 million tonnes, durum at 0.75 million tonnes and barley at 0.69 million tonnes, the ministry said in a statement.

Meantime, two grain ships have been stuck in the port of Sfax in Tunisia since last month due to non-payment of dues, a union official said on Thursday.

The official, added that two other ships have been waiting since the beginning of this month as well.

Officials in the government were not immediately available for comment.

In Russia, Russian wheat export prices rose slightly last week, Sovecon agriculture consultancy said on Wednesday. 

Indeed, prices for wheat with 12.5% protein content for supply in May from Black Sea ports were up by $5 to $385-395 free on board (FOB) at the end of last week. 

Prices for domestic 3rd class wheat, European part of Russia, exluded delivery, were quoted at 16,050 rbls/t ($252.76) down 25 rbls from prior week (Sovecon);

Sunflower seeds were at 40,900 rbls/t -350 rbls (Sovecon);

Price for domestic sunflower oil was at 114,350 rbls/t -4,000 rbls (Sovecon);

Export price for sunflower oil was at $1,900-2,000/t unchanged (Sovecon);

Price for domestic soybeans was at 50,950 rbls/t -750 rbls (Sovecon);

White sugar, Russia’s south, was at $963.2/t +$78 (IKAR);

($1 = 64.5450 roubles).

Meantime, the Russian Ag. Min has amended the export tax for wheat, barley and corn for the week of May 18-24, 2022.

Particularly, the export duty will be $111.9 on wheat, $76.5 on barley and $77.3 on corn.

Indicative prices will be $359.9 for wheat, $294.3 for barley and $295.5 for corn.

That is compared, with prior week (May 13-17) when the tax was $114.3 for wheat, $74.1 for barley and $77.0 for corn, while indicative price were $363.4 for wheat, $290.9 for barley and $268.4 for corn.

Weekly rates of shipment of wheat from the Russian Federation slowed down, other crops – increased.

The potential volume of grain exports until the end of the season is estimated at 7 million tons.

The volume of wheat exports for the week from May 2 to May 9 fell by almost 60% compared to the previous week, to 264.3 thousand tons, while the volume of supplies of corn and barley increased by 65% and 88%, respectively, according to the monitoring of the Russian Grain Union (RGU).

Thus, 162.3 thousand tons of corn, 68.2 thousand tons of barley were delivered during the week. 

Wheat was shipped from seven ports, the maximum volumes were traditionally exported through Novorossiysk, while the volume of export through these gates decreased by 128.6 thousand tons – up to 101.8 thousand tons per week. A decrease in shipments was recorded in all major ports, which is associated with the May holidays in Russia. 

During the week, the geography of wheat exports decreased, it was shipped to eight countries against 10 a week earlier. 

The main volumes – 47 thousand tons – were delivered to Turkey. 

Shipments of wheat to Egypt decreased to a minimum level – 16.6 thousand tons. 

Exports to Sudan and Tunisia have intensified. Export was carried out by only six companies.

The potential volume of grain exports from Russia in the remainder of the 2021/22 season is estimated at 7.04 million tons, including 1.45 million tons of wheat. 

In total, according to the union, since the beginning of the season, almost 38 million tons of grain have been exported from Russia, including 33.55 million tons of wheat.

The prices of the main world markets rose slightly. 

The 12.5% FOB Novorossiysk price discount for Russian wheat against EU France fell to $28 per ton from $41 a week earlier, but this also kept Russian wheat attractive for its traditional buyers.

The growth factor in the price of the cost of Russian wheat 12.5% FOB Novorossiysk by 4.2%, to $401 per ton, was information about the low export potential of Russia until the end of the 2021/22 season, RZS explains. 

At the same time, there was a decrease in the indicator prices of the Ministry of Agriculture by 2.3% and, accordingly, the export duty on wheat by 4.8%.

From the Middle East, soaring bread prices have triggered protests in Iran in which some shops were set on fire, prompting police to arrest scores of “provocateurs”, the official IRNA news agency said on Friday.

The protests were triggered by a cut in government subsidies for imported wheat that caused price hikes as high as 300 percent for a variety of flour-based staples.

Iran’s official inflation rate is around 40%, and some estimate it is over 50%. 

Almost half Iran’s 82 million population are now below the poverty line.

The government plans to offer digital coupons in the next couple of months for limited amounts of bread at subsidised prices. 

The rest will be offered at market rates. Other food items will be added later.

In the first signs of discontent over price rises, Iranian media last week reported disrupted internet services, an apparent attempt to stop the use of social media to organise rallies and disseminate videos.

Wheat prices have drastically increased globally, adding to the cost of subsidies in Iran.

Iranian officials have also blamed the price hikes on the smuggling of subsidised bread into neighbouring Iraq and Afghanistan.

Iran will need to import 7.0 MMT of wheat in 2022/23 said the chairman of Iran’s Grain Union. 

This follows an estimated 8.0 MMT of imported wheat this year. 

Neighboring Pakistan will also need to increase imports by 3.0 MMT. 

According to the Prime Minister’s office, a 2% fall in production, water and fertilizer shortages, and the delayed announcement of support prices led to the production declines.

A severe drought in Iraq led to a smaller wheat crop this year. 

Iraqi farmers are instructed by the state on how much wheat to plant.

Because of water shortages, Iraqi farmers have planted less wheat. 

Farmers there say that yields have been half of what they usually are. 

A spokesman for the agriculture ministry says that Iraq will likely produce 2.5-3.0 MMT of wheat. 

From South East Asia, India banned wheat exports with immediate effect on Saturday, just days after saying it was targeting record shipments this year.

The scorching heatwave curtailed output and local prices hit an all-time high amid strong export demand.

The government said it would still allow exports for letters of credit that have already been issued and on the request from countries that are trying “to meet their food security needs”.

Global buyers were banking on the world’s second-biggest wheat producer for supplies after exports from the Black Sea region plunged. 

Prior to the ban, India was targeting to ship out a record 10 million tonnes this year.

The Indian ban could drive up global prices to new peaks and hit poor consumers in Asia and Africa.

Rising food and energy prices pushed India’s annual retail inflation up towards an eight-year high in April, strengthening economists’ view that the central bank would have to raise interest rates more aggressively to curb prices. 

Wheat prices in India have risen to record high, in some spot markets to as high as 25,000 rupees ($322.71) per tonne, versus government fixed minimum support price of 20,150 rupees.

In April, India exported a record 1.4 million tonnes of wheat and deals were already signed to export around 1.5 million tonnes in May. 

($1 = 77.4700 Indian rupees).

From Australia, a shortage of grain in the Port Adelaide zone is lifting prices for wheat and barley stored up-country in the southern half of New South Wales and throughout Victoria, and pushing domestic values to premiums well above export bids.

The Adelaide-driven rally is a function of competition from traders filling mostly bulk export orders, and consumers who have had to lift bids to more than $20/t above the comparable port price to keep their mills fed.

Rain now falling across many parts of the Australian grainbelt is mostly ideal for winter crops now being planted, but has been excessive and could cause damage to emerging seedlings.

Rain over much of NSW and Queensland is hampering the movement of grain in many parts of eastern Australia by preventing outturn from up-country storages.

In this context, indicative delivered prices in Australian dollars per tonne were:

Barley Downs: $435 up $30 from May 05;

SFW wheat Downs: $460, up $25 from May 05;

Sorghum Downs: $360, unchanged from May 05;

Barley Melbourne: $428, up $8 from May 05;

ASW wheat Melbourne: $455 up $33 from May 05.

SFW wheat Melbourne: $445 up $15 from May 05.

(AUD/USD=> US$0.6940 vs. US$0.7077 past week).

On international trade scene, the Taiwan Flour Millers’ Association purchased an estimated 40,000 tonnes of milling wheat to be sourced from the United States in a tender which closed on Friday.

The purchase involved a range of different wheat types in one consignment for shipment from the U.S. Pacific Northwest coast between. June 26 and July 10.

The purchase included U.S. dark northern spring wheat of 14.5% protein content bought at $530.57 tonne FOB U.S. Pacific Northwest coast, traders said.

It also involved hard red winter wheat of 12.5% protein bought at $550.52 a tonne FOB and soft white wheat of 10.5% protein bought at $444.03 a tonne FOB.

The consignment has an additional freight charge of $68.25 per tonne for ocean shipping from the U.S. Pacific Northwest coast to Taiwan.

The seller of the dark northern spring wheat was trading house CHS. 

The hard red winter and soft white wheat was sold by United Grain Corp..

Watching next week’s market, we’ll get the usual Export Inspections report on Monday afternoon and the NASS Crop Progress report over night. 

NOPA will also release their monthly soybean crush and bean oil stocks numbers on Monday. 

Skip ahead to Wednesday and EIA will release ethanol production and stocks data. 

Thursday will feature by the weekly Export Sales report.  

USDA/NASS will release their monthly Cattle on Feed report on Friday (May 20). 

Friday will also mark the expiration of June serial grain options.

That’s all.

To all of you, we wish you a good day and a good weekend.

Author: Sandro F. Puglisi  

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