Mixed portents for Australian commodity prices

Published 2024년 7월 8일

Tridge summary

The global wheat supply is expected to continue to fall short of demand for the fifth year in a row, leading to a slight increase in prices. The market's attention is divided between the wheat harvests in the Black Sea and the United States. The Australian canola market is expected to see price support, potentially allowing Australia to compete for export space in the EU. Beef prices are expected to remain stable, while sheepmeat prices are expected to continue their strong performance. Australian beef exports have increased, with volumes to Japan and South Korea growing as the US reduces its exports to these markets.

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

Original content

The global wheat supply is heading into its fifth consecutive year of net deficit against demand, which should see a small price correction through to the year's end. Writing in Rabobank's latest monthly agribusiness report, agriculture analyst for grains and oilseeds Vitor Pistoia said he now expects a small upside correction in the Chicago Board of Trade (CBoT) wheat prices. He also forecast the Australian Securities Exchange (ASX) would likely remain in positive territory, and future prices are expected to mirror the global market. "The market's focus is now split between the Black Sea and the United States wheat harvest," Mr Pistoia said. "July will be a defining moment to consolidate northern hemisphere harvest expectations and grain quality, especially in the European Union block, and provide a better understanding of southern hemisphere potential,'' Mr Pistoia said. He said the wheat deficit was forecast to remain despite changes in the global crop status in recent weeks. ...

Source: Farmweekly