US grains futures fall as Ukraine war enters second month
24 March 2022 - 18:57
byMark Weinraub
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Grain harvesting combine in Vinnitsa, Ukraine on July 27 2016. Picture:123RF/BONDVIT
Chicago — Chicago Board of Trade wheat and corn futures fell on Thursday, with traders noting that the market has already absorbed supply disruptions from the Black Sea region after Russia’s invasion of Ukraine a month ago.
“It feels like the market has priced in that there will be an issue with corn and wheat coming out of Ukraine,” said Chris Robinson, founder of Robinson Ag Marketing.
Soybean futures also were weaker, put under pressure by a round of profit taking after three straight days of gains pushed the most active contract to its highest in nearly a month on Wednesday.
Weakness in crude oil and falling global vegetable oil prices added pressure on the soybean market.
May soybean futures were down 10.5c at $17.08¼ a bushel.
A US agriculture department report that showed weekly export sales of soybeans fell to 399,300 tonnes, the lowest since July and well below trade forecasts that ranged from 800,000 to 2.1-million tonnes, weighed on prices.
A separate agriculture department announcement that showed private exporters reported the sale of 318,200 tonnes of soybeans to unknown destinations kept declines in check.
May corn was down 9.7c at $7.47½ a bushel and May wheat shed 11.5c to $10.94¼ a bushel.
Weekly export sales of corn totalled 985,600 tonnes, near the low end of estimates for 900,000 to 2.2-million, and wheat export sales came in at 523,000 tonnes compared with forecasts for 200,000 to 900,000.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
US grains futures fall as Ukraine war enters second month
Chicago — Chicago Board of Trade wheat and corn futures fell on Thursday, with traders noting that the market has already absorbed supply disruptions from the Black Sea region after Russia’s invasion of Ukraine a month ago.
“It feels like the market has priced in that there will be an issue with corn and wheat coming out of Ukraine,” said Chris Robinson, founder of Robinson Ag Marketing.
Soybean futures also were weaker, put under pressure by a round of profit taking after three straight days of gains pushed the most active contract to its highest in nearly a month on Wednesday.
Weakness in crude oil and falling global vegetable oil prices added pressure on the soybean market.
May soybean futures were down 10.5c at $17.08¼ a bushel.
A US agriculture department report that showed weekly export sales of soybeans fell to 399,300 tonnes, the lowest since July and well below trade forecasts that ranged from 800,000 to 2.1-million tonnes, weighed on prices.
A separate agriculture department announcement that showed private exporters reported the sale of 318,200 tonnes of soybeans to unknown destinations kept declines in check.
May corn was down 9.7c at $7.47½ a bushel and May wheat shed 11.5c to $10.94¼ a bushel.
Weekly export sales of corn totalled 985,600 tonnes, near the low end of estimates for 900,000 to 2.2-million, and wheat export sales came in at 523,000 tonnes compared with forecasts for 200,000 to 900,000.
Reuters
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