Home »Agriculture and Allied » World » SRW wheat premiums steady

Export premiums for soft red winter wheat at the US Gulf Coast were mostly stable on Thursday as traders looked for a pick-up in business following a decline in prices. Dealings were quiet with many participants on holiday after Christmas and ahead of the end of the year. Traders were watching to see whether a decline in wheat prices will attract fresh export business.

US grain and soyabean futures weakened, with wheat touching a six-month low as worries about the "fiscal cliff" weighed on commodities markets. USDA will issue export sales data for last week on Friday, one day later than normal due to the Christmas holiday. Export sales are expected to be 500,000 to 700,000 tonnes for wheat, 150,000 to 300,000 tonnes for corn, and 100,000 to 300,000 tonnes for soyabeans.

US soyabeans have been competing for export business with crops from Brazil, which is expected to bring in a record-large harvest due to favourable weather. The Commodity Weather Group said in a forecast that rains will favour central Brazil in the next 10 days, aiding corn and soyabean growth. Argentina soyabean acreage lost to flooding this year should be offset by wider seedings in outlying parts of country that have received beneficial moisture, the Buenos Aires Grains Exchange said on Thursday.

Copyright Reuters, 2012


the author

Top
Close
Close