Andrey Sizov
16.07.2024
On Monday, wheat prices continued to fall. The September SRW wheat contract closed at $5.32/bush ($195/mt; -3.4% compared to Friday). The September Euronext wheat contract fell to €213.50/mt ($233/mt; -3.0%). The September U.S. corn contract fell to $3.90/bush ($154/mt; -2.9%).
The condition of U.S. wheat continues to improve, exceeding analysts’ expectations. As of July 14, 77% of spring wheat crops were in good to excellent condition (+2 pp. from the previous week and the average analyst estimate). The condition of corn crops remained unchanged from the previous week at 68% (-1 pp. compared to the average market estimate).
U.S. wheat sales exceeded market expectations. For the week ending July 11, 0.53 mmt of wheat were shipped from the U.S., compared to the market estimate of 0.28-0.50 mmt.
Harvesting of Brazil’s second corn crop was 74% complete as of July 11, reports AgRural. Harvest progress has slowed somewhat due to rain, but still exceeds last year’s rate of 36%.
Hot weather in early July was unfavorable for the development of late crops in Ukraine, reports the Ukrainian Hydrometeorological Center. According to experts, dry and hot weather has caused wilting, drying, and death of plants in some areas.
On July 16, the Egyptian company GASC will hold a tender for the supply of wheat with shipment in September.
On July 17, the Algerian agency OAIC will hold a tender for the supply of a nominal 50 tmt of soft wheat. Algeria usually purchases wheat in volumes higher than the nominal amount.
