Feed market update – 24 June 2015
Read our latest summary of developments on global markets for cereals and oilseeds.
Grain prices have risen throughout the last week, sparked by continued concerns of unfavourable weather impacts across Europe, Canada and the US. Nov-15 UK feed wheat futures closed at £124.40/t on Tuesday (23 June), up £2.15/t on the week. Paris maize futures also closed higher compared with the previous week, with the Nov-15 contract up by €3.75/t, closing at €166.25/t on Tuesday. Particular concerns surround Europe and while continuing to suggest high production, the latest data from the EU Commission showed lower 2015 yield forecasts in the EU-28.
Drier than normal conditions in Canada has also increased the risk of yield loss in the key wheat producing province of Saskatchewan. The pace of the US winter wheat harvest is lagging behind progress made at the same point in time last year, according to USDA, given recent rain. At the same time this is benefiting the maize crop.
Soyabean futures have received some support throughout the last week, with remnants of tropical depression ‘Bill’ flooding some soyabean fields in the US and the area still to be planted as at 21 June was double the proportion at the same time last year. Nov-15 Chicago soyabean prices were up on the week, by $12.22/t, closing at $352.98/t yesterday. With harvesting of the 2014/15 crop now virtually complete, Argentina’s soyabean production expectations have been lifted.
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