Falling stock market prices for wheat continues

2020-03-02 12:03:02
Machine translation
Falling stock market prices for wheat continues

Further spread coronavirus on the planet increases the likelihood of a global recession, which increases pressure on the stock and commodity exchanges. Wheat prices continue to decline, despite the emergence of some factors, such as the reduction of the yield of wheat in Pakistan or an increase in export shipments.

 

According to the updated forecasts, as a result of late sowing and spreading of fungal diseases - rust of wheat in the current season, Pakistan will gather with 25.5-26.5 million tonnes of wheat and not 27,03 million tons as previously expected. To harvest the country will begin in early March.

 

the price of wheat in Paris on Friday fell to its lowest level in 2.5 months, even in spite of increased export demand. The strengthening of the Euro against the dollar to the level 1,104 $/€ against the background of falling exchange rate of the Russian ruble, caused by the escalation of the situation in Syria, reduces the competitiveness of French wheat.

 

the

  • the May futures for milling wheat on MATIF fell by 2.75 €/t to 184,25 €/t or 205,48 $/t

 

Chicago quotations wheat on Friday fell for the third consecutive session. However, significant losses to keep the market speculators, which intensified at the end of the auction began to close short positions and carry out technical buying.

 

the May wheat futures in the U.S. had such a dynamic:

the

increased by 0.55 $/t to 166,54 $/MT of hard winter HRW wheat in Kansas city

rose 1.29 $/t to 193,82 $/t hard spring HRS wheat in Minneapolis.

  • fell 0.92 $/t to 192,90 $/ton SRW soft winter-wheat in Chicago

 

the Russian wheat with protein of 12.5% continues to decrease. Bid prices have dropped to 215 $/MT FOB, while the bid price 210 $/t FOB. The deterioration of relations between Russia and Turkey over the situation in Syria in the near future even more will lower prices of demand.

 

However, one week, Russia increased wheat exports by 128% to 736 thousand tonnes, of which 229 tonnes was sent to Egypt.

 

pressure on the market black sea wheat has increased the news on the purchase of Philippine feed manufacturer 275 thousand tonnes of black sea feed wheat at a price of $200/MT FOB for may and 180 $/t FOB for July shipments.

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