Soy is aiming for a third year of gains; corn, wheat up more than 20% in 2021

SINGAPORE, Dec.31 (Reuters) – Chicago soybean futures were heading for a third year of gains on Friday, although expectations of a near-record crop in Brazil’s top exporter reached the lead of the contract in recent weeks.

Wheat and corn gained more than 20% in 2021 as strong demand and tight supplies supported agricultural markets.

FUNDAMENTALS

* The Chicago Board of Trade’s (CBOT) most active soybean contract is up for the third year in a row, but is up just over 2% so far in 2021.

* Corn has added a quarter to its value and wheat is up over 20% this year.

* Supply constraints resulting from adverse weather conditions and high demand have boosted agricultural markets this year.

* Soybeans gained 0.1% to 13.39-1 / 4 a bushel at 1:37 GMT on Friday, corn gained 0.1% to $ 5.96-3 / 4 a bushel and wheat was up 0.4% at $ 7.82-3 / 4 a bushel.

* Argentina could harvest more than the currently forecast 21.5 million tonnes of 2021/22 wheat if yields continue to be higher than expected, the Buenos Aires Grain Exchange said in a report on Thursday, with 89 , 7% of the harvest harvested so far.

* Russian agricultural consultancy Sovecon said on Thursday it had raised its forecast for Russia’s 2021/22 wheat exports from 0.2 million tonnes to 34.1 million tonnes amid the current high pace of shipments.

* Commodity funds were net sellers of corn, soybean, soybean oil, soybean meal and wheat futures on Thursday, traders said.

MARKET NEWS

* Global stock markets reversed their gains after a one-day rally on Thursday even as new US economic data indicated that a recent rise in infections linked to the Omicron COVID-19 variant has yet to lead to an increase layoffs, a positive sign for the economy. (Reporting by Naveen Thukral; Editing by Devika Syamnath)


Source link

Comments are closed.