European market

Despite a week shortened by the closure of markets due to the May 1st public holiday, also in France, buyers are still active. Algeria, through the OAIC, has issued a call for tenders for the purchase of wheat for shipments over the two fortnights of July 2024. The price difference between the old and new harvests is also leading some buyers with sufficient storage capacity to try to take advantage of the current wide spread.
As a reminder, for many products, May will mark the end of quotations for the 2023 harvest, or at least the end of negotiations for the volumes still available. On Euronext, the May 2024 wheat contract will expire next week, on 10 May. In rapeseed, the May 2024 contract closed on Tuesday evening in a context of easing crude oil prices.
Market participants are now focusing on the new crop situation, and in particular on the potential for Russian production given the weather conditions in the south of the country.

American market

Chicago corn prices rose yesterday, May 1, on both old and new crop. Plantings are continuing in the USA, at a slightly faster rate than the average for the last five years. The momentum of ethanol production is providing an element of firmness in the short term. In the longer term, government decisions on the greater use of biofuels in aviation are opening up new opportunities for US corn farmers.
The firmness of corn prices has given some support to the soybean market. Crushing activity in March, as reported by the USDA, remains high and confirms a sustained pace for the current season. However, the announced end of the strike in Argentina's ports should rapidly lead to a resumption of loading activity. The strike had led to a rise in meal prices since the start of the week, particularly in importing countries.
In wheat, changes in rainfall forecasting models are driving the market, with two areas in particular under scrutiny: southern Russia and the plains of the American wheat belt. Since the start of the week, prices for SRW wheat in Chicago have fallen back, erasing part of last week's upward movement.

Black Sea market

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