GRAIN MARKET VIEW
September 5, 2023 – Market Focus
Good morning, Farmer Family …
The CFTC weekly report showed large speculators trimming their net short position in Chicago corn futures in the week ending Aug. 29.The report also showed that non-commercial traders, a category that includes hedge funds, increased their net short position in CBOT wheat and raised their net long position in soybeans.
This morning Chicago wheat prices rose, as expectations of lower output in Australia underpinned the market.
Corn and soybeans rose with expectations of dry weather in the U.S. Midwest likely to hit yields.
According to AgRural, Brazilian farmers had harvested 88% of the safrinha area planted, by Aug. 31.
AgRural also said that 13% of the areas projected for the center-south’s first 2023/24 corn crop had been planted by last Thursday.
Recent rainfall over Argentina’s agricultural heartland has brought significant relief to the wheat crop in particular, raising hopes for a good season after continued harsh droughts which caused huge losses in the 2022/23 season, the Rosario grains Exchange (BCR) said Monday.
French export activity is still focused on barley shipments to China.
According to port data compiled by LSEG, a light wheat loading programme in France, saw a third vessel for Colombia this season.
Drier weather over the past two weeks has allowed this year’s UK harvest to make good progress, according to AHDB’s latest report.
He also said Ukraine needs to soften its negotiating position against Russia and export more grain to Africa rather than Europe.
Ukrainian railways have partially restricted cargo shipments to Ukraine’s major Danube River port Izmail, as has been the target of Russian drone attacks in recent weeks, the railways said on Monday.
According to the Russian Grain Union, August 2023 Russian grain export reached a 7-year high of 7.7 mln tonnes, with Egypt as the largest importer of Russian wheat, and Algeria the second. The third place was taken by Turkey.
Domestic wheat prices for 4-grade, were on average at 13`500 RUR/t (141 USD/t).
Indonesia has set its crude palm oil reference price for the Sept. 1-15 period.
ABARES said total Australian winter-crop production was expected to reach 45.2 million tonnes in 2023-24.
This morning, oil prices were mixed as a private-sector survey showed that China’s services activity expanded at the slowest pace in eight months in August.