Corn prices in Ukraine fall following World quotes

At the beginning of the year, purchase prices for wheat and corn in Ukraine increased due to the fall in the hryvnia exchange rate against the dollar by 2.5%. However, the decline in World quotations by 3-5% caused by the data of the January USDA report turned prices in Ukraine down at the end of the week.

Purchase prices for corn decreased in ports by 100-150 UAH/ton to 8250-8300 UAH/ton or 2 260-262/ton, as traders purchased significant volumes of corn at high prices in the first days of the new year, and have no problems with purchasing against the background of increased offers.

The main reason for the decline in world prices is the heavy precipitation forecast for the next 7-10 days in Argentina and Brazil, which will improve the condition of crops and reduce the impact of speculative weather factors on the market.

After the release of the report, March corn futures on the Chicago Stock Exchange fell by 2.2%, but at the end of the week recovered by 1.3% to 2 234.6/ton, without crossing the psychological level of.6/bushel.

March Black Sea corn futures in Chicago also fell 0.7% to 2 276/ton, but on Friday rose 0.75 //ton to 2 276.75 / ton.

March futures for European corn on Paris Euronext after the release of the report fell by 4 €/ton to 239 €/ton or 2 272.8/ton, but due to the strengthening of the euro exchange rate, they remain at 2 270/ton, which increases pressure on the prices of Ukrainian corn.

Today on the US stock exchanges is a day off to celebrate Martin Luther King Day, so the market reaction to the weather in South America and export data will be announced on Tuesday and Wednesday. Presumably, prices will continue to fall after the rapid fall of the wheat market.