Ontario elevator bids for corn and soybeans made fresh 52-week highs during mid-April for both old and new crop positions. Ontario farm stocks of corn and soybean will drop to bin-bottom levels at the end of the 2021/22 crop year. The domestic market is functioning to ration demand by trading at a premium to world […] Read more
Tag Archives grain markets — page 14
Uncertainty continues to drive grain prices
High energy prices, inflation and export demand all supportive but weather woes could increase volatility
USDA crop reports surprise analysts
Despite export ban from Ukraine, there hasn’t been an increase in export demand for U.S. corn and wheat
The markets are in a transition stage. Earlier in March, the focus was on nearby tight fundamentals due to the limited export potential from Russia and Ukraine. The “war premium” in the grain and oilseed markets appears to be eroding. Higher prices caused acute demand rationing. Quick lookSoybeans: Ontario soybean stocks will reach historical lows […] Read more
Global instability drives crop price effects in Ontario
Potential large crop in Brazil could limit Ukraine export impact
Ontario grain and oilseed markets continue to digest uncertainty in world production and trade due to the Russian invasion of Ukraine. The longer the conflict continues, the less likely that Ukraine corn and sunflower planting and will occur under normal conditions. The ability to harvest Ukraine winter wheat this summer is also questionable. Ontario farmers […] Read more
China’s soybean imports beat market expectations
Reuters – China’s soybean imports in the first two months of 2022 rose from the previous year, beating market expectations, according to March 7 customs data. China, the world’s top importer of soybeans, brought in 13.94 million tonnes of the oilseed in the Jan.-Feb. period, up 4.1 per cent from 13.41 million tonnes in the […] Read more
Fate of Ukrainian wheat crop uncertain
Winter wheat will be more dependent on rains but war will affect spring-planted crops
Glacier FarmMedia – Ukraine’s Maritime Administration has announced that the country’s ports will remain closed until the Russian invasion is over, putting a halt to old crop exports. That is stranding an estimated five million tonnes of old crop wheat that was destined for export, according to AHDB Cereals and Oilseeds. Why it matters: The […] Read more
Grain markets reach historic highs in March
Russia’s invasion of Ukraine will affect wheat prices the most moving forward
World grain and oilseed markets have incorporated a risk premium due to the Russian invasion of Ukraine. Ontario corn, soybean and wheat prices have made fresh historical highs during the first couple weeks of March. This rally comes on the heels of an extremely tight fundamental structure for Ontario grains and oilseeds. Ending stocks are […] Read more
Soybean markets poised to respond based on war footing
Corn and soy supplies expect to hit historical lows at end of crop year
Editor’s note: This market analysis was mostly-prepared before the impact of the Russian invasion into Ukraine. As a result, many global commodities are in sway due to a multitude of unforeseen circumstances now in play. Statistics Canada released its Dec. 31 Stocks Report last month. This report is important because it confirms the production estimate […] Read more
Risk premium factors in futures market for corn, soybeans
U.S. supply also tighter than anticipated
Two main factors are influencing Ontario corn and soybean prices. First, the futures markets are incorporating a risk premium due to uncertainty in South American production. Drier conditions in Argentina have lowered crop prospects for the row crops. Harvest is in the early stages in Brazil and yields are disappointing. We expect to see lower […] Read more
South American soybean production may cause market volatility
Corn prices remain high due to feed demand, wheat in seasonal low
Ontario corn prices are relatively unchanged from last month. All three pillars of corn demand are at seasonal highs. Ontario corn exports are running ahead of year-ago levels while strong energy prices support the year-over-year increase in ethanol production. Cattle on feed inventories tend to peak during the winter. Ontario soybean crushers continue to show […] Read more
Strong energy prices support increased corn, soybean market values
Domestic market demand and uncertainty surrounding South American crops also contributing factors
Ontario soybean prices have risen $1 per bushel over the past month. The domestic market is being pulled higher by the energy complex and stronger meal values. Soybean exports are lagging last year’s pace. The fundamentals are somewhat bearish unless South America has adverse weather conditions. Ontario corn prices are up 20 cents per bu. […] Read more
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