The reasons for the decline lay in profit-taking and the closing of positions by speculative funds, which began when the oilseed was close to US$600, after the new cut to the Brazilian production estimate by the Ministry of Agriculture was known. of that country, as a result of adverse weather conditions.
The National Supply Company (Conab), dependent on the agricultural portfolio of the neighboring country, adjusted the harvest projection by 15 million tons to 125 million.
This new forecast was added to those made yesterday by the United States Department of Agriculture (USDA), which cut the estimate of the South American harvest by 8.7 million tons compared to what was expected in January.
The flour accompanied the bean, with a fall of 1.7% (US$8.71) to position itself at US$500.44 per ton, while the oil gained 0.6% (US$9.04) and ended the day at US$1,422.18 per ton.
For its part, corn fell 0.8% (US$1.97) and closed at US$252.65 a tonboth due to profit-taking, as well as “external sales levels from the United States close to the most pessimistic estimates, which deepens the declines,” explained the Rosario Stock Exchange (BCR).
By last, wheat fell 1.7% (US$4.96) and ended the day at US$283.48as a consequence of the fact that exports of the US cereal were located just above 133,000 tons this week, “very close to the most pessimistic estimate of weekly sales, also affected by closing positions for the cereal”, highlighted the BCR.
The 2021/22 Argentine campaign was hit by a drought and heat waves between December and the first half of January that forced the stock market to reduce its harvest estimate for the grain by 5 million tons last month. Currently, the Stock Exchange’s harvest estimate for soybeans is 40.5 million tons, 500,000 tons above the estimate in January due to a readjustment.
Source: Ambito
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