Grain Report Wednesday - 13th November
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.
A stronger $US and weakness across veg oils sent wheat and beans sharply lower, corn fell but not as much.
US wheat exports remained flat while corn and soybeans export inspections remained solid.
Some weather forecasters are calling for an end to La Nina which would be beneficial for nth hemisphere crops. Eastern Europe remains dry but otherwise global crops are in much better shape than they were a month ago.
Looks like US wheat prices are on the way to test August lows to buy demand. US wheat exports are 30% above last year’s weak levels, but not high enough to stir markets.
There are thoughts that a Trump administration would be bad for biofuels which would impact corn and oilseed demand.
Canola was sharply lower taking a lead from soyoil, palm oil and European rapeseed. Rumoured import restrictions on Canadian canola didn’t happen over the weekend. There are reports that the Canadian Ag Minister is headed to China this week to discuss the canola trade. Doubt they will do anything while he is there, but probably when he is on the plane home if talks aren’t fruitful.
$A down to 65.3USc marching to the beat of the strengthening $US (Trump=inflation). Disappointing Chinese data over the weekend and an underwhelming announcement on Chinese stimulus measures coupled with falling copper and iron prices might see the $A test levels below 65USc in coming days.
ASX traded between $328-$332/t yesterday unchanged. Local wheat futures traded sideways the past month, moving up and down with fluctuations in the $A.
BOM forecast is getting wetter with rain spreading into the WA wheatbelt with heaviest rain in eastern parts while in QLD/NSW the heaviest falls will be in a band through CQ down to northern NSW. Most cropping areas of NSW will get up to 50mm. It's an unusual looking system so expect forecasts to be dynamic.
Northern delivered markets for wheat and barley were higher due to some domestic shorts, higher trucking costs and lack of grower selling. Faba beans were also stronger. But otherwise, apart from canola, markets are very quiet.
24/25 Best Bids 12/11
Wheat APW1 $372/t Kwinana (-1), $344/t Geelong (+2).
Feed barley $325/t Kwinana (+1), $310/t Geelong (n/c).
Canola EU $891/t (+4) & non-EU $787/t (n/c) Kwinana, EU $817/t (n/c) & non-EU $760/t Geelong (n/c).
Clear Grain Exchange (CGX) Open Market Call
Firm to weaker, won’t be higher
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
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