Market Summary and Trends in Agriculture Commodities
Chicago December 2024 up 8 cents per bushel to 563.5 cents/bu
Kansas December 2024 wheat up 10.5 cents/bu to 577.5 cents/bu
Minneapolis December 2024 wheat up 14.25 cents/bu to 611.5 cents/bu
MATIF wheat December 2024 up €1.25/t to €223.75/t
Corn December 2024 up 3 cents/bu to 411.75 cents/bu
Soybeans November 2024 down 2.25 cents/bu to 1041 cents/bu
Winnipeg canola November 2024 up C$10.30/t to C$631.50/t
MATIF rapeseed November 2024 up €8.50/t to €481.25/t
ASX January 2025 wheat up A$2/t to $340/t
ASX January 2025 barley unchanged at A$303.90/t
AUD dollar down 5 points to US$0.6729
International Market Insights
Recent global market activity has been influenced by increased wheat purchases and heat forecasts for key production regions.
- Global Wheat Purchases: GASC made its largest single wheat purchase since 2022, while Algeria has secured 600-700k tons at US$241-$244/t C&F, likely from the Black Sea region. Jordan has also tendered for 120k tons of milling wheat, with a deadline early next week. In contrast, Thailand passed on all offers.
- Soybean Purchases: Brazil remains the primary source of beans, with China purchasing 75 cargoes of South American beans over the past two weeks. Despite this, there is limited new crop US bean activity.
- Winter Wheat and Rapeseed in Germany: The winter wheat harvest has commenced, with production estimated at 20.20 Mt, slightly lower than previous estimates. Winter rapeseed is expected to decline by 10% YoY to 3.8 Mt.
- Corn Market Dynamics: The corn market is seeing increased activity due to heat in Eastern Europe/Black Sea regions and strong US domestic demand. Ethanol production has reached its third-highest level on record. However, the market is also facing record net short fund positioning.
- Canadian Crop Conditions: Saskatchewan’s canola crop condition remains well above average, while Alberta is at or slightly above average. The estimated canola production is 20 Mt.
Australian Market Updates
Recent Rainfall: Significant rain was recorded in NSW, Victoria, and South Australia. Areas of South Australia’s Eyre Peninsula and Mid North saw up to 10mm, with the lower southeast receiving up to 25mm. Victoria’s Western Districts recorded 5-15mm, while East Gippsland saw 5-25mm. Central NSW also received 5-15mm of rain.
Western Australia: New season canola prices remain steady to +A$2/t, with bids around $772/t. New crop wheat and barley also saw minimal movement, with bids at $358/t and $316/t respectively. Old crop canola and barley prices stayed stable, though wheat prices for better quality grades saw slight declines.
Eastern Australia: Similar trends were observed with new season canola bids increasing to $706/t at MPT and Geelong. Old season GM canola saw a +$13/t increase for Melb/Geelong port zones. Wheat and barley prices remained firm for new crop at $352/t and $307/t respectively.
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