Wasde report April
South American grain harvest continues to grow
The USDA's "supply and demand" report again boosts South American soybean and grain corn crops. April's Wasde report has few surprises in store. The futures markets are also almost unaffected. The U.S. Department of Agriculture's data is in line with analysts' expectations.
Both the harvest of grain corn and soybeans, in Argentina and Brazil, are adjusted upwards by the USDA. The largest increase is for the Brazilian soy crop. According to the Ministry of Agriculture, this amounts to 111 million tonnes, an increase of 3 tonnes compared to the previous report. Expectations from the market were that the figures would be even higher. The figures therefore provide some relief, although they do underline the enormous availability of grains on the world market.
5,4
million tons
Soy adjusted upwards
The USDA is adjusting the world's ending soybean stockpile upwards by 5,4 million tons, to a total of 563,4 million tons. This is due to the large South American production, a larger area from the US and less expected demand from China. Closing stocks in the US are largely left untouched by the ministry.
Wheat rises significantly
There, only wheat rises significantly, from 1,129 billion bushels to 1,159 billion bushels. Still, Chicago wheat futures closed 4,5 cents higher. Corn and soy both lost light. The Matif odds remained unaffected.
The global closing stock of wheat will be increased by 1,7 million tons. This is due to a higher initial stock, because less wheat is consumed in the EU. World exports are falling. The corn stock is adjusted upwards by 4,4 million tons. South America is the leader in terms of production increase.
Niels van der Boom
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