Grain Report Thursday - 12th December
What price do you want for your grain?
Overnight moves in international markets and yesterday's actual traded prices across Australia are below to help you determine your price. If you need to change your offer price, simply edit it before market open.
No change in grain market fundamentals with a tightening corn balance sheet propping up the complex. USDA has done a dramatic about face on the corn balance sheet, shifting its estimates on end stocks from a 17% increase in February to a 1% decline. Most of the reduction has come from revisions to the carry-in as lower corn values have done their job of lifting corn demand.
US wheat futures are in a holding pattern with concerns over the Russian crop balanced by ongoing competitive offers and weak demand. European futures are strengthening.
Higher protein wheats have been firming on dryness across US Hard Red Wheat (HRW) growing areas in Montana and the Dakotas, spreading south into Central Plains.
India has told its traders to reduce wheat stocks as it steps up measures to help reduce domestic prices.
Canola is holding firm against declines in palm oil as it trades its own fundamentals whilst ignoring the risks of potential trade issues between Canada, China and the US.
$A lower again at 63.6USc after RBA raised hopes of a February rate cut.
BOM unchanged, mostly dry for harvesting areas.
ASX up $3/t to $228/t.
Wheat continues to fall on West coast, down $5-8/t yesterday, but firm $2-4/t on East coast as WA farmer selling ramps up. The west/east coast milling wheat spread has narrowed to $16t from $58/t in mid-November.
Canola values are bouncing all over the place. There were solid trades on CGX yesterday at levels above the best bids and at season highs for CAN1 indicating that a trader was keen to execute an export shipment. This highlights the benefits of having offers in place on CGX for when an exporter needs to push the button and cover a sale.
Chickpea bids were lower by around $10/t to $850/t. Malt barley values firmed $5/t into Geelong to $340/t. Lentils firmed another $5/t to $918/t Wallaroo.
Faba beans have fallen out of bed on better-than-expected yields and as traders cover short positions. Faba beans were best bid at $550/t yesterday, back from $670/t last week.
24/25 Best Bids 11/12
Wheat APW1 $375/t Kwinana (-8), $359/t Geelong (+4).
Feed barley $324/t Kwinana (n/c), $310/t Geelong (n/c).
Canola EU $875/t (+19) & non-EU $738/t (+3) Kwinana, EU $804/t (+3) & non-EU $683/t Geelong (-7).
Open Market Call
Firm on east coast. Farmer selling is pressuring WA values.
For further market commentary please contact the CGX team on 1800 000 410
CGX now own and operate the igrain market for grain stored on-farm
If you have any queries, we're always here to help!
Please give us a call or email if you have any questions.
Call 1800 000 410 or Email support@cgx.com.au
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