US grain futures were lower again overnight, wheat, corn and soybeans all having double digit losses. The AUD shed 0.24%, helpful yes, but hardly enough to make a mark in the conversion of these losses to AUD per tonne. For nearby SRWW at Chicago the loss in futures is worth roughly AUD$5.11, the softer AUD claws back roughly AUD$0.76/t of that potential loss.
Weakness in the soybean pit spilled over to softer closes for both Winnipeg canola and Paris rapeseed futures. Winnipeg falling the most of the two exchanges, shedding in AUD terms about AUD$9.18 nearby. Losses were similar for nearby and outer months. At Paris the nearby fell away E2.75 and the Feb25 slot shed E3.00, so there’s nothing supportive for new or old crop there. The nearby fall at Paris equates to roughly AUD$5.51 lower taking day to day changes in the Euro / AUD into account.
Chickpea prices at the Delhi market were just a tad higher, gaining only 7Rs/Q, roughly AUD$1.30. That’s better than a loss, but we are still looking at a decline of roughly AUD$25+ since last Friday at the Delhi mandi. Local bids here for new crop Oct / Nov have held on well this week.
International feed barley values continue to slide lower. Russian values back the equivalent of AUD$3.86 overnight. There appears to be nothing stopping this market from slipping lower at present.
Sorghum values out of the US Gulf were also lower, following the weaker corn market there. On the back of an envelope values work out to be something close to comparable to AUD$340 – AUD$350 ex farm LPP. So local prices and US prices are very similar into the Chinese market now. The Chinese index for sorghum slipped AUD$2.61 overnight. Possibly indicating that recent losses in sorghum values here may continue again today.
The Buenos Aires Grain Exchange increased their estimate for sown wheat area in Argentina by 100kha to 6.3mha. A quick look at WorldAgWeather.com shows conditions in Argentina are turning dry again. With just light showers expected over the next 7 days the crop isn’t off to a perfect start there.