Bear trap, dead cat bounce, only time will tell. Chicago grain futures were generally higher across the board last night. Wheat was more of a follower after the media began talking the Ukraine / Russia conflict down earlier in the week. Instead the market found support from the soybean pit which trigger spill over buying across both corn and wheat futures at Chicago.
By the end of the session Chicago soybeans closed 36.2c/bu (AUD$18.51) higher on the nearby. Bargain hunters were in after a sharp drop in values earlier in the week. Fundamental support is still being gleaned from the S.American market and continued production estimate adjustments. The smaller S.American crop has the punters expecting to see bigger US export orders. In the meantime Chinese officials are suggesting that they can reduce soymeal demand in feed rations by as much as 30mt by substituting the meal with other protein sources. What they are switching too remains to be seen, blood and bone maybe…….that’s a little dark.
The stronger close in US corn futures doesn’t appear to have been reflected in export values for sorghum out of the US or Argentina. Both exporters seeing slight reductions in the FOB offer value.

Algeria was said to have picked up 200-250kt of durum wheat in their latest tender. Algeria do not make public their tender results so the information here is best guess from reports from “those in the know”. The trade estimate business was done at US$700 to US$720 C&F for Panamax size ports. Shipment is late Feb so most likely EU in origin. This price is well above the previous price estimate for their last purchase of durum in September and flies in the face of falling global values. As always the durum market remains a muddy pond.