Corn prices fall after the price of wheat
on Friday, corn futures in Chicago fell 1%, and within a week lost 1.98 per cent following the fall in wheat prices. The sharp rise in the last week of corn exports from USA were allowed to take the five-year average level, although the pace of exports is still inferior to last year.
so far, the reasons for rising prices are not available, especially because precipitation in Argentina and Brazil, giving hope for improvement of crops.
According to AgRural, the rains hinder the collection of the first crop of corn in Brazil that as of March 15, threshed 34% of the area against the average 5-year rate 45%. While corn safrinha under second crop planted 92% of the planned area, which is higher than the average 5-year rate 90%.
This will lead to reduced supplies of maize to the markets in March and April, however, will allow Brazil to get a good harvest due to the large grain corn yield the first harvest and the high level of moisture in the soil, which will contribute to the development of the second crop.
In Ukraine corn prices at the port fell by 2-4 $/t 193-194 up to $/t. However, problems with the transport of grain to ports caused by cyclone with the cold weather and snow storms, will increase the demand for corn by traders. It is unlikely that the price at the port will increase to 200 $/t, while the actual purchase is carried out within 205-206 $/t FOB (equivalent 195-196 $/t CPT-port). However, the manufacturers in anticipation of the new level of prices can reduce sales volume.