Corn prices rise after wheat quotations

2019-10-31 12:02:50
Machine translation
Corn prices rise after wheat quotations

Yesterday, December corn futures in Chicago rose 2.3% to 153,77 $/t on the background precipitation in the corn belt, which will delay harvesting. Prices supports the growth of ethanol production, and the hope of increased demand on the physical market after a sharp rise in price of wheat.

 

According to estimates by traders due to rain with snow on 3 November in the US, the corn will be collected on 50% of the area, but after the weekend weather for 5-7 days to improve.

 

Weekly ethanol production, according to the EIA, finally crossed the psychological level of 1 million barrels/day, although 4 weeks it averaged 983,5 thousand barrels/day. The increase in demand for corn from manolovo industry essential to support prices.

 

the Market expects the promised trump a program to increase consumption of ethanol in the United States. According to the Association of renewable fuels, the RFA for the first time in 20 years, the annual ethanol production declined in 2018 to 14.38 billion gallons compared from 14.49 billion gallons in 2017.

 

After the rise in price of wheat in Egypt for a month for $20/ton began to grow the physical market of wheat, which has supported stock prices and corn prices.

 

the Taiwan and South Korea, which are major importers of corn, has announced a tender for the procurement of corn for delivery in February-March.

 

Taiwan's MFIG bought 65 thousand tons of corn for delivery in January at a price 214,16 $/t CFR, which is 17,71 $/t higher than the price of the previous trading session on August 22.

 

South Korean refiner MFG for the first time after the outbreak in the country Achs had a tender and purchased 69 tonnes of us corn for February delivery at a price 206,55 $/t CFR, although originally planned to purchase three vessels of corn. Most of the proposals were within 211-228 $/t CFR.

 

In Ukraine corn prices rose to 166-167 $/t FOB for shipments in November, although demand from major customers - the EU and China remains insignificant. Farmers are holding back sales in expectation of rising prices following the rise in price of wheat per month to 25 $/t Offers corn can be 117,05 million tonnes, which is 3% lower than the level of last year.

 

According to the forecast Agency SAFRAS & Mercado, Brazil compared with the year 2019 may 2020 to reduce production of maize by 3.2% to 103,672 million tons, exports – from 38,325 million to 30 million tons

Visitors’ comments (0):