Andrey Sizov
23.08.2024
On Thursday, grain prices continued to decline. The December SRW wheat contract closed at $5.35/bushel ($197/mt; -1.6% compared to Wednesday). The December HRW wheat contract in Kansas City closed at $5.45/bushel ($200/mt; -1.2%). The December Euronext wheat contract fell to €209.50/mt ($233/mt; -1.1%). The December corn contract remained at $3.93/bushel ($155/mt; -1.2%).
Corn yield in Iowa, the top corn-producing state in the U.S. from 2015-2019, reached a record 13.0 mt/ha, up from 12.3 mt/ha last year, according to USDA crop tour data. Illinois, the second-largest producer, is also expected to see a record yield of 13.4 mt/ha, up from 13.0 mt/ha last year. Nebraska, ranked third, posted a corn yield of 11.7 mt/ha, the highest since 2021, significantly exceeding last year’s and average levels. Meanwhile, Minnesota, the fourth-largest producer, recorded a historically low yield of 11.1 mt/ha.
The share of Argentine wheat crops in good and excellent condition remained at 85%, unchanged from the previous week and 1 percentage point higher than last year, according to data from the Buenos Aires Grain Exchange.
In the first two months of the new season, Russia is expected to export 8.2 million metric tons (MMT) of wheat, down from 9.8 MMT a year earlier, according to SovEcon. Russian wheat exports are anticipated to be lower YoY for the second consecutive month due to decreased exporter margins and relatively low demand for wheat.
