The latest USDA crop report, released last week, has estimated that world grain stocks will fall back next season, after a five-year spell in which they soared more than 50% to reach record highs.This will come as very welcome news for growers worldwide as prices have struggled to find their feet in recent times due to a highly-saturated market, spurred by a run of bumper harvests.
The latest USDA crop report, released last week, has estimated that world grain stocks will fall back next season, after a five-year spell in which they soared more than 50% to reach record highs.
This will come as very welcome news for growers worldwide as prices have struggled to find their feet in recent times due to a highly-saturated market, spurred by a run of bumper harvests.
World maize stocks are estimated to end the 2017-18 season at a four-year low of 195.3m tonnes.
Although world wheat stocks are estimated to grow slightly over the 2017-18 season to 258.3m tonnes, the increase reflects a stock build in China, where the focus on corn consumption was seen to undermine wheat use.
Europe
Having entered the month of May, grain prices from November 2017 will now be used to represent futures prices on the Euronext exchange (MATIF) in Paris.
Milling wheat started off on €173/t while maize started at €172/t. Both commodities fell slightly by the end of the week to settle at €171/t each.
Oilseed rape prices started at €375/t and closed the week down €1/t to €372/t.
Chicago
In the Chicago (CME), grain prices from December 2017 will now be used to represent futures prices after trading entered the month of May.
December 2017 soft red winter (SRW) wheat futures finished yesterday at $169/t (€153/t). This marks a slight $1/t drop from the start of the week.
December 2017 corn prices showed no change, starting and finishing the week on $152/t (€137/t)
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