Global grain futures markets were a little more subdued last night. Chicago SRWW handed back a little of the previous sessions gains while both spring wheat and hard red winter wheat appeared to consolidate at current values. Both nearby soybeans and corn edged lower but there was a bounce in Paris rapeseed futures and nearby Winnipeg canola also closed in the green. Outer month canola contracts at Winnipeg closed in the green but +C$0.20 / tonne or less is not very convincing. The big winner, Paris rapeseed, up €8.25 / tonne in the Feb 26 slot.
World cash grain values, when compared to yesterdays conversions to AUD / tonne export zone equivalent values, were generally a little firmer. The weaker AUD countering the move lower at some locations. Hard red winter wheat out of the US Pacific Northwest was up a comparable AUD$2.14 / tonne while US spring wheat out of the PNW was up AUD$1.05/t. Canadian spring wheat was up AUD$1.73/t when compared to yesterdays conversion.

The Canadians continue to talk about the demise of the canola industry on the back of Chinese tariffs on their canola. I guess that is what happens when Peewee Herman slaps Mike Tyson in the face. There is already talk of decreased canola area to be sown in Canada. Acres there possibly being switched to milling and durum wheat is likely given the poor value of barley and the lower chickpea price.
Delhi chickpeas managed to bounce. Values had fallen below the minimum support price, MSP. Potentially indicating this is where the Indian market may find support going forward. As long as import tariffs are not introduced we may also see local values here find support at something close to AUD$650 / tonne delivered Narrabri packer longer term. Current new crop bids are above values currently in the Indian market. Yesterday local bids were closer to $770.
The 7 days outlook for central and western Kansas remains dry, not ideal considering temperatures over the next week or two are expected to be 2C – 4C above average. The Black Sea region is also dry, seeing less than 20% of average rainfall over the last 14 days and not much in the forecast.