Corn Market: Modest Gains in the U.S. and Europe
Corn Market: Modest Gains in the U.S. and Europe
Teaser:Corn Prices Stable with a Slight Upward TrendThe corn market started the final trading week of the year with modest gains. While U.S. prices were supported by export demand, European prices benefited from rising wheat futures. However, favourable weather conditions in South America are limiting further price increases.In the U.S., corn closed slightly higher on Monday. The March futures contract at the Chicago Board of Trade (CBoT) gained 3 cents, settling at 445 cents per bushel. This equates to 170.95 USD per ton or approximately 155.57 EUR per ton (at an exchange rate of 1 USD = 0.91 EUR). The March contract rose by 1.25 EUR at the Euronext, closing at 208 EUR per ton.
Market Developments
- Quiet Start in Chicago:The final trading week of the year began calmly for corn in Chicago. Stable demand supported a slight upward movement.
- Support from Wheat in Paris:Rising wheat prices provided support for corn on the European market.
- Limited Gains Due to South America:Favorable crop conditions in South America restricted upward price momentum:
- In Argentina and Brazil, further rainfall is expected, alleviating immediate concerns about yield losses.
- AgRural estimates Brazil’s corn harvest to be 121.7 million tons, significantly lower than the USDA’s forecast of 127 million tons.
USDA Export Inspections
The USDA Export Inspection Report for the week ending December 12 revealed:- Corn shipments: 1.13 million tons, reflecting:
- A 17.7% increase compared to the same week last year.
- A 6.8% rise from the previous week.
- Top Destinations:
- Mexico: 377,397 tons
- Japan: 206,019 tons
- Spain: 136,897 tons
- Colombia: 124,780 tons