Skip to the content

Market Summary - Wednesday 26th June 2019

Compiled by Hayley Hobbs

To get the Daily Market Summary in your inbox every morning, send an email to hhobbs@plumgrove.com.au with "Subscribe" in the subject line.

 

OVERALL

 

  • With no new input overnight markets ended mixed. The heatwave in Europe and the Black Sea is being downplayed, but you can bet the market will remain focused on the event as it unfolds. The AUD is unchanged at 0.6963 this morning.

 

WHEAT 

Contract

CBOT (c/bu)

CBOT (AUD/t)

KCBOT (c/bu)

MGEX (c/bu)

July 19 (N)

535.75

-2.25

$282.72

-1.15

465.25

-0.25

548.50

+5.00

Sept 19 (U)

540.00

-2.50

$284.96

-1.28

478.25

+0.75

557.00

+3.75

Dec 19 (Z)

550.50

-2.00

$290.50

-1.01

500.00

+1.00

570.00

+3.00

Mar 20 (H)

560.00

-2.25

$295.51

-1.14

519.25

+0.25

583.50

+3.25

 

  • Wheat lost momentum as weather maps show improving conditions that will aid the harvest of US winter wheat.
  • The outcome of this week’s heatwave across Europe (due to move into the Black Sea early next week) will be wheat’s focus for the short term as we debate possible effects on wheat production in those regions. While some are reducing their Russian estimates, it is unlikely the event will have a catastrophic result on winter wheat for which harvest is underway. However the effect it has on their spring wheat crop will determine overall production.
  • Russian new crop values are rising and offers were hard to come by which could be interpreted as a signal that local producers are more concerned about the heatwave than officials are letting on.

 

CORN & BARLEY

Corn

CBOT (c/bu)

July 19 (N)

447.50

+0.75

Sept 19 (U)

453.00

+1.25

Dec 19 (Z)

457.50

+0.25

Mar 20 (H)

462.00

-1.00

 

  • Yesterday’s lower conditions ratings were outshined by improving weather leaving corn either side of unchanged.
  • Corn markets are also following the heatwave in Europe to see what effect it will have on corn production there.
  • Outside of any major changes to fundamentals we expect corn to be relatively subdued in the lead up to Friday’s stocks and acreage report.

 

OILSEEDS    

Contract

CBOT Soybeans (c/bu)

Contract

ICE Canola (CAD/t)

Contract

MATIF Rapeseed (€/t)

July 19 (N)

903.50

-5.50

July 19 (N)

445.80

-6.30

August 19 (Q)

366.25

-1.25

August 19 (Q)

908.75

-6.00

Nov 19 (X)

456.10

-9.00

Nov 19 (X)

369.50

-1.25

September 19 (U)

914.50

-6.00

Jan 20 (F)

463.40

-8.70

Feb 20 (G)

372.75

-0.75

 

  • Soybeans were pressured lower by improving weather conditions for sowing and a lack of demand.
  • As previously mentioned, the market is showing signs of skepticism surrounding the reliability of the stocks and acreage report due for release on Friday. Reasons for doubt include delayed planting and an anticipated change to planting intentions in March vs June given the impact of weather on corn plantings.   

 

OTHER

Contract

 

 

AUDUSD

0.6963

-0.0001

AUDCAD

0.9171

-0.0009

AUDEUR

0.6124

+0.0013

CRUDE (N)

57.83

-0.07

 

  • Despite a rally in the US Dollar the AUD is relatively unchanged from this time yesterday.
  • Comments from the US Fed intended to ease market expectations about US rate cuts in July saw the USD rally.
  • There is no local data of note due for release today so the AUD will remain sensitive to global tensions and speculation surrounding US rate cuts.

 

SPREADS

 

Close

Change

 

Close

Change

 

Close

Change

WU9 - WN9

4.25

-0.25

KWN9 - WN9

-70.50

+2.00

MWN9 - WN9

12.75

+7.25

WZ9 - WN9

14.75

+0.25

KWU9 - WU9

-61.75

+3.25

MWU9 - WU9

17.00

+6.25

WH0 - WN9

24.25

0.00

KWZ9 - WZ9

-50.50

+3.00

MWZ9 - WZ9

19.50

+5.00

WN9 - CN9

88.25

-3.00

KWN9 - CN9

17.75

-1.00

MWN9 - CN9

101.00

+4.25

 

Have a great day!

Local. Versatile. Reliable.