European market

While rapeseed managed to keep its price levels thanks to the support of firm crude oil and a weaker euro/dollar, wheat and corn prices closed the week sharply lower on Friday evening on Euronext. The forces in the market have changed little. But the funds suddenly went on sale at the end of last week on the Chicago market, which weighed on European prices.
The downward movement is however attenuated in Europe by a euro/dollar which is approaching 1.16 at the lowest since early April.
There is no doubt that geopolitics, macro-economics and weather prospects will again fuel the volatility of the week. The nervousness is accentuated in the Black Sea as on the Persian Gulf. The stock markets meanwhile were showing signs of fragility at the end of last week.
In the opposite to April, it is now the return of warmer and drier weather that is expected in Western Europe after the last days and weeks marked by excessive coolness and precipitation.

American market

The deadlock in the situation around the Strait of Hormuz, the renewed firmness of crude oil and inflationary fears in the United States are fueling increasingly strong expectations of rate hikes by the Fed. So many elements that have come to revive the rise of the dollar at the end of last week, causing at the same time a vast movement of liquidation of positions on the part of the funds.
The operators also marked their disappointment due to the lack of immediate announcements of new Chinese purchases of US soybeans and corn during Donald Trump's state visit to China last week. However, this situation should be reversed with the announcement by the US government yesterday of a commitment by China to buy at least $ 17 billion in US agricultural products until 2028 in addition to the 25 Mt of annual soybeans already promised last November.
After a last week also marked by a USDA Wasde report showing the lowest US wheat harvest in more than 50 years, volatility is at its peak on the Chicago market.
As every Monday, all eyes will be on the USDA's Crop Progress report published at 22:00 Paris time. In addition to the state of winter wheat, the progress of sowing and raising of spring wheat, corn and soybeans will be analyzed in detail.

Black Sea market

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