New balance USDA accelerated the fall in maize prices

2021-02-11 12:32:41
Machine translation
New balance USDA accelerated the fall in maize prices

After a detailed analysis of the February WASDE report, the corn futures on the stock exchange in the U.S. dropped another 4% to 207,5 $/t on concerns about lower demand lower than the previously projected.

 

the Increase in the forecast of corn exports from the US to 1.27 million tonnes to 66,04 million tons stipulates that by the end of the season you need to ship 44.5 million tonnes and 1.5 million tonnes a weekly basis, while still shipped only 21.45 million tons or an average of 933 thousand tons a week, so traders optimism may be premature.

 

Current report on weekly export sales will be an additional indicator of the prices of corn.

 

the US President announced that a new working group on China will reconsider US strategy amid increasing threats China. "We need to face the challenges of China, to keep the peace and protect our interests in the Indo-Chinese region and globally," said Biden.

 

This rhetoric against the background of intent to revise signed last year, a trade agreement that could lead to a worsening of relations and China's abandonment of active purchases of American agricultural products.

 

Australia despite political disputes, increases in exports of wheat to China, however, the decline in world prices increases pressure on the price of feed wheat and corn for delivery to Asia.

 

within a few weeks the price of corn to Vietnam and South Korea fell by 5-10 $/t up to 290 $/t C&F. For comparison, the Australian feed wheat offered at 285-290 $/t C&F, American maize – at 240-245 $/t FOB, Ukrainian corn – on 260-265 $/t FOB.

 

ethanol Production in the U.S. last week increased by 1 thousand barrels/day to 937 thousand barrels/day, which is 10% less than the corresponding previous year. Ethanol stocks fell by 0.5 million barrels to 23.8 million barrels, however, exceed last year's level.

 

Under the pressure of increasing the bids in the Argentine corn dropped to 240 $/t FOB and now it is the cheapest in the world market.

 

behind the global purchase prices of corn in Ukraine fell to $250/t or 8200-8300 UAH/t. In the next week to support them caused by snowfalls and frosts of reducing the supply to the ports. The forecast reduction of import of corn in the EU will reduce the demand for Ukrainian corn exports for 5 months of the season amounted to 12 million tons of the planned 24 million tonnes, Given the fact that the most active exports in February-April, Ukraine over the next 3 months you need to ship 10 million tons of corn, while the markets fail wheat and corn from the new harvest from Brazil.

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