The beginning of the week could be marked by a great nervousness on the markets in a context increasingly impacted by the economic slowdown. The situation in China remains worrying with demonstrations to protest against the government's zero covid policy.The restrictions are strongly impacting the country's economic activity.
On Friday, in the absence of the US traders, prices on Euronext rebounded slightly thanks to a good export activity for European origins.
These uncertainties on the economic activity are also translated by a fall of oil prices which are posted at only 74.20 usd the barrel this morning on New York.
On the international scene, Egypt would have bought around 175,000 t of wheat in private negotiations. Turkey is seeking around 500,000t of feed barley.
In India, wheat sowings have begun at a sustained pace in a context of favourable prices for farmers.
Exports of grain from the Black Sea are continuing at a relatively steady pace amid competitive prices.
The European Commission's estimate of corn production for the EU is 53.3 Mt compared to 54.9 Mt reported last month. In this context, imports are revised upwards to 23.0 Mt from last month's estimate of 22.0 Mt. Wheat production is estimated at 127.0 Mt with exports revised down to 34.0 Mt. Rapeseed production is revised down to 19.4 Mt and sunflower production to 9.3 Mt.
Rapeseed is dealing below 600 €/t in a context of increased canola production in both Canada and Australia.
Activity in Chicago was subdued on Friday due to a shortened session after Thanksgiving. Wheat prices were down amid a lack of competitiveness of US origins. Corn prices were slightly higher while soybean was almost unchanged.
Wheat and corn export sales for the past week amounted to 511,800 t and 1,850,300 t respectively, both within the range of expectations. Soybean export sales were also matching traders' anticipations at 690,100 t.
On Friday, funds were net sellers in 7,000 lots of wheat and 1,000 lots of soybean. They were net buyers in 2,000 lots of corn.
Black Sea market
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