The mood on the grain market remains very tense. Wheat quotes have slowed down in both Europe and America after the rally in recent days. Maize is still holding onto the upward trend on the CBoT. A cold and wet spring plays an important role in this.
The wheat price on the Matif in Paris closed yesterday (April 14) at €401 per tonne, which is €2 lower than the day before. On the CBoT in Chicago, the price of wheat (May contract) fell back to $1.096,50 per bushel. July and September contracts are higher, at $1.104,50 and $1.101 per bushel, respectively. The stagnation in wheat prices does not come as a surprise to analysts. The basis for current prices is solid, but with the long weekend ahead, some of the speculators have taken the profit and exited.
While in the United States there are concerns about the state of winter wheat, the crop is in good shape in France. FranceAgriMer has given 92% of the common wheat acreage the status 'good' or 'excellent'. The market bureau notes that the markets remain "extremely nervous because of the risk of a long-term conflict between Russia and Ukraine".
Cold and wet
The corn quotation on the CBoT rose nearly 1% yesterday to $790,25 per bushel. The weather is one of the driving forces behind the increase. In the Midwest of the United States, the start of the corn season is not going well. The temperatures are on the low side, which means that it is not possible to start sowing corn. It is also too wet. That is in stark contrast to the growers in the southern prairies, who are just waiting for rain.
It is still a bit early for sowing maize, but compared to the five-year average, American growers are already slightly behind and given the weather forecasts, analysts expect that delay can increase further in the coming period.