The July contract rose for the fourth round in a row and gained 1.67% (US$10.66) to US$650 a tonne, while that of August did so by 1.02% (US$ 6.25) to conclude the day at US$ 617.20 per ton.
The fundamentals of the rise were based on the firm international demand for US merchandise and the expectation that there will be new cuts to stocks in that country.
The United States Department of Agriculture (USDA) today reported weekly exports for the 2021/22 campaign of 429,900 tons, above the 111,600 tons of the previous report and within the range expected by operators, between 100,000 and 500,000 tons.
Likewise, 2022/2023 sales were relieved at 595,300 tons, above the 284,000 tons of last week and within the range expected by private companies, between 200,000 and 700,000 tons, specified the Granar grain broker.
Secondly, the market was expectant of a new cut in US stocks in the report on global grain supply and demand to be published by the USDA tomorrow.
“The average of private estimates placed the closing stock of the campaign at 5.93 million tons, below the 6.39 million in the May report,” Granar pointed out.
The flour accompanied the upward trend of beans, with a jump of 2.86% (US$ 13.12) to US$ 471.23 per ton, while oil fell 0.37% (US$ 6.83) to conclude the session at US$ 1,821.65 a ton.
For its part, corn gained 1.11% (US$3.35) in its closest positions and closed at US$304.32 a ton.
According to brokerage analysts, the firmness of the market was given by “a demand that remains sustained in the face of a supply that is expected to be lower in the new 2022/2023 campaign, due to the fall in the area planted in the United States and due to the logical decrease that production will have in Ukraine, where the war is prolonged and the agreements to remove the retained grain already seem like a utopia”.
In this sense, the USDA reported weekly corn sales for 2021/2022 of 280,400 tons, up from 185,800 tons last week.
Finally, wheat fell 0.32% (US$ 1.29) and stood at US$ 393.62 per ton, due to the advance of the North American winter harvest, although the lack of results of the negotiations between Russia and Ukraine limited the low.
Source: Ambito
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