On the eve of the release of the USDA report traders staged an exchange sale

2021-09-10 12:02:11
Machine translation
On the eve of the release of the USDA report traders staged an exchange sale

Yesterday, traders on global stock exchanges actively sold wheat contracts due to a lack of understanding of possible changes in the forecasts of global wheat and corn production in a new USDA report. If the USDA sharply increases its forecast for the US corn harvest, then its prices will fall and lead to wheat prices.


September US futures fell sharply yesterday:

  • by 6 6.33 / ton to Чикаго 254.3/ton for soft winter SRW wheat in Chicago,
  • by 8 8.08/ton to H 250.6/ton for hard winter HRW wheat in Kansas City,
  • by 8 8.08/ton to.320.4 / ton for hard spring HRS wheat in Minneapolis.


On the Chicago SWOT, September Black Sea wheat futures rose вчора 1.25/ton to.301.5/ton yesterday as the purchase price rose at the tender in Egypt, but December fell вчора 3.5/ton to. 304.75/ton due to improved wheat harvest prospects in Argentina and Australia, where favorable rains continue.


Offer prices for Russian wheat with 12.5% protein and delivery in September – October increased to 3 310-320/ton FOB, while Ukrainian wheat is offered at.295-310/ton FOB. 


In Russia, as of September 8, 69.3 million tons of wheat with a yield of 2.92 t/ha were threshed from 23.7 million hectares or 83% of the area. In Kazakhstan, 10.3 million tons of wheat with a yield of 0.87 t/ha were harvested from 11.8 million hectares or 74.3% of the area. As a result of the reduction in the wheat harvest in Kazakhstan, Russia exports part of its food wheat there and will reduce supplies to other countries. This worries Russian processors, as exports to Kazakhstan are not subject to duties. Due to the reduction of duties and increased shipments, Russia exported a record 5.2 million tons of wheat in August.


  • December wheat futures on the Paris Stock Exchange yesterday fell another 2.5 €/ton to 239.5 €/ton or 2 283.3/ton, down 1.1% from Monday.


In the near future, wheat prices will be supported by the activation of tender purchases.


Saudi Arabia's grain agency SAGO has announced a tender for the purchase of 360 thousand tons of food wheat for delivery in November, the results of which will be announced on Monday.


Tunisian ODC agency also announced a tender for the purchase of 100 thousand tons of food wheat and 100 thousand tons of barley for delivery in October – November.


Morocco's grain agency has announced a tender for the supply of 363 thousand tons of durum food wheat from the United States.


The Turkish government, due to the drought and the reduction of its own production, canceled import duties on grain until December 31, 2021, which activates wheat supplies to this region.

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