Feed market update - 9 September 2015
Read our latest summary of developments on global markets for cereals and oilseeds.
UK Nov-15 wheat futures closed at £111.90/t on Tuesday (8 September), down £2.10/t week on week. Furthermore, on Thursday (3 September) the contract reached another new low of £110.50/t. Chicago (Dec-15) wheat futures followed the trend and closed at $174.52/t, down $4.13/t on the week. However Chicago maize futures prices (Dec-15) recorded a smaller decrease on the week closing at $144.98/t compared to $145.28/t a week earlier. In recent days however, international grain futures prices have increased, supported by expectations of a cut to US maize and soyabean yields by the USDA in Friday’s (4 September) report.
UK harvesting slowed down last week, due to wet weather, with 60% of the combinable crop area cut as at 1 September. In the latest harvest report by ADAS, prolonged delays in some regions have resulted in lodging and blackening of remaining wheat and spring barley crops.
Chicago (Nov-15) soyabean futures prices closed at $323.04/t on Tuesday (8 September), up $1.93/t week on week. However in the UK as at 7 September UK, rapemeal (34% ex-mill, Erith) averaged £169/t down £3/t week on week. Similarly Brazilian soyameal was £285/t, down £3/t since the previous week. Informa Economics have raised their US soyabean yield estimate to 3.16t/ha from 3.06t/ha previously. Nevertheless, uncertainty remains around the harvest area estimate with Informa not expecting the USDA to change the official figure until the October report.
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