Brazil’s Bolsonaro authorized a new quota to buy extra Mercosur wheat without tariffs. They did this last year and it puts US and other world wheat on even playing field for up to 750.0 kmt. This is more bearish Argentine values than bullish US values, but it gives HRW a chance in M/A/M shipmentpositions.This week…
Category Archives: 2020
US wheat loses business to Canada
The market was dead and especially for O/N/D where exporters have no interest unless they need something for logistics. Last week there were more soybeans loaded from the Texas gulf than wheat. Domestic HRW has not seen a train on the spot market in the past 7-days and pipelines are drawn down. Domestic spring wheat…
Wheat takes a backseat to row crop harvest
The deferred bid/offer values have not change over the past 10-days as buyers hold their bids at historical values and sellers add the freight premiums to delivered premiums. There has been a turnaround in nearby values with higher basis after disappointing applications on September contracts. Increased freight rates encourage shippers to carry wheat until J/F/M…
Higher rail and barge freight limit wheat sales as winter wheat harvest progresses.
Weakness of the USD is offset with higher rail freight rates, increased elevation margins, and widening ocean freight spreads. US wheat is a long way from competitive today. Hard red winter wheat growers have sold +50%-65% of their harvest. Shippers/ware-housemen have hard red winter tucked away, despite improved row crop conditions which was supposed to…
Domestic Soft Red Winter Wheat Basis Explodes Higher
Harvest started up today, but there was not a lot of new information offered. TW down 1 lb/bu after weekend rains but still well above average and #2 grade. Elevator bids continue to work higher as each company tries to compete with their competitor, bids were up 3-5+ ct/bu higher today. Delivered bids to domestic…
HRW and SRW harvest expands
The market is focused on harvest quality of HRW & SRW. Traders anxiously seek information for HRW yields, quality & protein while waiting on sampled SRW test weight, falling number, & vomitoxin content. It is still early for HRW harvest but yields and quality are above expectations however protein is low. The country hopes it…
ABARES Wheat Production
In ABARES June Edition, Australia 2020/21 wheat production was pegged at 26.7 million MT reflecting a 27% increase in area to 13.0 million hectares and above average yields in New South Wales, Victoria and South Australia.
HRW 2020 harvest underway
The cash markets were firm but quiet today across the domestic and export markets. There was some trade at the Texas gulf for HRW last week to Brazil and LAM buyers. To our knowledge there has not been additional trades this week, but some interest under the market. The PNW has Japan tendering tonight for…
