We continue to search and explore the grain market. Players are mainly concerned with revenue and stock figures that will be published later this week. News about tenders therefore had limited influence on the market, according to some analysts. In the geopolitical field, there is great interest in what Russia and Turkey are cooking up.
The March wheat contract on the Matif closed yesterday €1 higher at €211 per tonne. On the CBoT, wheat showed a plus of 0,8% to $5.95 per bushel. Soy closed 0,3% higher at $11.99¼ per bushel. Corn fell last trading session on the Chicago stock exchange, losing 0,9% to close at $4.38¾ per bushel.
There is neither meat nor fish in the grain trade. Market players are particularly busy taking positions in the run-up to the Wasde report and Statistics Canada's stock report, both due out tomorrow evening Dutch time. The news that Japan had opened a tender for 136 million tons of milling wheat from the US, Canada or Australia could not really stir the wheat market. For European exporters, a tender from Tunisia for 100.000 durum wheat is more important. Jordan has committed 60.000 tonnes of milling wheat for $263 tonnes C&F (free) delivery at the end of April. Jordan was also looking for 120.000 tons in the tender.
Outing
Putin is planning a visit to Turkey. According to Turkish President Edrogan, the war in Ukraine and the Black Sea grain deal are on the agenda. A date for the visit has not yet been officially announced, although the Turkish Foreign Minister mentioned Monday, February 12, last Sunday. If the visit goes ahead, it will be the first time that Putin has visited a NATO member since the invasion of Ukraine almost two years ago. In addition to grain, experts expect that Turkey's role in Russian natural gas exports will also be discussed.
Winter wheat in Texas is in better shape than it was a week ago, according to the USDA. 46% of the area receives a good or excellent rating from the ministry compared to 42% last week. The crop is also fairly well developed. 17% of the winter wheat acreage in Texas is in the ear. Last year it was 7%, just like the five-year average for this week. Combined with rain forecast for the eastern part of the state, things are looking relatively good for wheat growers there.
Early start for corn
In Brazil, 27% percent of the planned successive maize crop is in the soil in the south-central part of the country, according to AgRural. Since this statistic was kept in 2013, so much corn has never been sown so early. About 75% of Brazil's corn crop is a second crop, mainly after soy. Early sowing is usually beneficial for the crop yield. The expected soy yield in Brazil has been reduced by Safras & Mercado by 2,6% compared to the December forecast to 156,1 million tons. Hectare yields are lower than last season according to the market office, but this is partly offset by an expansion in the area.