USA: Grain markets uncertain before Christmas truce

Published 2024년 12월 24일

Tridge summary

American soybean prices in Chicago fell by 0.31% due to the anticipation of large harvests in South America and uncertainty about the future U.S. government's stance on biofuels. There is also interest from China in Brazilian soybeans. In contrast, corn prices rose by 0.28%, reaching a six-month high due to speculative activities and a favorable ruling in a GMO corn dispute. Wheat prices saw mixed results, with a 1.87% increase in Chicago and a slight decrease on Euronext. The market is cautious and inactive, with some anticipating erratic movements when the market recovers in early January. Additionally, market focus is shifted towards upcoming events such as the USDA's monthly report and the inauguration of Donald Trump, who may announce export or import taxes.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

In Chicago, the price of American soybeans fell by 0.31% on Monday, weighed down in particular by the prospect of large harvests in South America next year. "Soybeans face real challenges," according to Arlan Suderman, an analyst for the brokerage platform StoneX: "a harvest is coming next month in Brazil" which "should be a record harvest, with almost ideal growing conditions." According to him, soybeans are also weighed down by a lack of visibility regarding the positioning of the future American government with regard to biofuels: "We think we could see a 60% reduction in biodiesel production if we do not have clear guidelines in the coming weeks." And "China is now interested in Brazil," suggesting significant purchases of soybeans in this country rather than in the United States, adds his colleague Dewey Strickler, of Ag Watch Market Advisors. Overall, oilseeds are experiencing a decline in the wake of palm oil on the Kuala Lumpur Stock Exchange. This is particularly what ...

Source: TerreNet