Is corn ready for a rebound?
May 06, 2015
In the overnight session the grains were mixed with corn up 1 1/4 cents, soybeans down a penny and wheat up 3 1/4 cents. Corn prices are moving higher after finding some support around $3.55 per bushel during yesterday’s trade session.
Yesterday, the Egyptian grain buyer GASC purchased 120,000 metric tons of wheat sourced from Russia and Romania. The Russian FOB wheat was offered at $194.22 per metric ton, the Romanian offer was $200 per metric ton and the U.S. wheat was offered at $227.50 per metric ton. Despite the sustained decline in wheat prices, U.S. wheat is still not competitive enough on the global market to trigger above average buying interest.
Yesterday marked day one for the annual Wheat Council’s survey of HRW fields. Throughout the next few days roughly 90 scouts are taking to the fields to survey the quality of the wheat crop which suffered from dryness in the early part of the growing season. The tour is scheduled to release their final yield forecast for Kansas wheat production on Thursday.
In Argentina, port activity returned to normal after a port workers strike vote was postponed. Argentina has been struggling with delays at export ports caused by stevedoring strike that left cargo vessels delayed.
This morning StatsCan announced that total wheat stocks in Canada on March 31st was 16.74 million metric tons down 25 percent from the previous year. Durum wheat on stock was reported at 2.32 million metric tons this year which was down from 4.01 million metric tons in 2014. Canola stocks were reported at 7.04 million metric tons down 18.9 percent from the previous year.