FOB Prices and Freight Rate App (Updated 25 May)
Ocean Freight Comments - 19 May 2022 By Jay O'Neil Commodity Consulting I have not seen a significant uptick in cargo demand this week, but dry-bulk paper traders in the FFA market tried to keep last week’s rally going and managed to close the week with small gains. Physical markets have...
Interactive Ocean Freight Rates (Updated 25 May)
Ocean Freight Comments - 19 May 2022 By Jay O'Neil Commodity Consulting I have not seen a significant uptick in cargo demand this week, but dry-bulk paper traders in the FFA market tried to keep last week’s rally going and managed to close the week with small gains. Physical markets have...
Fundamentals versus Exports
Shipping and refrigeration costs become larger factors in trade during periods of high energy prices such as the present. Suppliers with lower energy costs for food processing can arbitrage that advantage by shipping dehydrated product to countries with higher refrigeration costs. A good exampl...
European Market Analysis
Regional News The European Parliament approved duty-free imports of agricultural products from Ukraine for a one-year period. The U.S. is reportedly considering lifting a ban in potassium fertilizer from Belarus if the country will allow the export of Ukrainian ag products through to Lith...
Conglomerate Vision; Policy Confusion
Conglomerate Vision Agribusinesses are paying attention. They along with oil companies are being blamed for inflation via gouging. There is an effort to ramp up the trustbusters, provide taxpayer incubator funds (subsidies) for startup competitors, and now even invoke the war-time Defense Produ...
Misdiagnosed; Potemkin Trade Policy
Misdiagnosed U.S. Treasury Secretary Janet Yellen said this week that, “Higher food and energy prices are having stagflationary effects, namely depressing output and spending and raising inflation all around the world.” She pushed for increased international food aid and advised int...
Market Commentary: Wheat Scores New Highs; Soybeans Rally on China Buying Rumors; Cattle Fall on Weak Cash Trade
The CBOT traded a generally bullish day with wheat futures forging a classic bullish day on the charts. Wheat futures opened higher, traded sharply lower to test support in yesterday’s chart gap, then settled higher after forging new contract highs. World wheat risks abound, and the only...
Friend-shoring Agriculture; Import Sensitivity
Friend-shoring Agriculture When the EU-U.S. Trade and Technology Council (TTC) platform was launched last fall, there was no war in Ukraine, and there was no mention of food. The second TTC meeting concluded today focused heavily on Russia and includes a new dialogue on changing the current foo...
European Market Analysis
Regional News Drought in Europe is becoming increasingly concerning with projections for EU wheat yields deteriorating. Areas of western Europe and the Baltics have received as much as 50 mm of rain less than normal by this date with the drought affecting a wide swath of Europe from Spain...
WASDE Soymeal
SOYMEAL: USDA’s outlooks is for the U.S. soybean crush in 2022/23 to be 2.26 billion bushels, up 40 million from the 2021/22 forecast. Domestic soybean meal disappearance is forecast to increase 2 percent from 2021/22 with low soybean meal prices relative to corn. U.S. soybean...
WASDE Wheat
WHEAT: USDA’s outlook for 2022/23 is for higher U.S. wheat prices. U.S. 2022/23 wheat supplies are projected down 3 percent, as lower beginning stocks more than offset a larger harvest. All wheat production for 2022/23 is projected at 1,729 million bushels, up 83 million from...
Market Commentary: Paris, KC, Chicago Wheat Score New Highs; Soybeans Rally as China Buys
The CBOT was sharply higher in trade that continued the bullish reaction to Thursday’s WASDE report. All three wheat classes and new crop corn futures scored new contract highs, though CBOT wheat and corn pulled back to post modest losses for the day. Soybeans rallied sharply and are movi...
FOB Prices and Freight Rate App (Updated 25 May)
Ocean Freight Comments - 19 May 2022 By Jay O'Neil Commodity Consulting I have not seen a significant uptick in cargo demand this week, but dry-bulk paper traders in the FFA market tried to keep last week’s rally going and managed to close the week with small gains. Physical markets have...
Interactive Ocean Freight Rates (Updated 25 May)
Ocean Freight Comments - 19 May 2022 By Jay O'Neil Commodity Consulting I have not seen a significant uptick in cargo demand this week, but dry-bulk paper traders in the FFA market tried to keep last week’s rally going and managed to close the week with small gains. Physical markets have...
Fundamentals versus Exports
Shipping and refrigeration costs become larger factors in trade during periods of high energy prices such as the present. Suppliers with lower energy costs for food processing can arbitrage that advantage by shipping dehydrated product to countries with higher refrigeration costs. A good exampl...
European Market Analysis
Regional News The European Parliament approved duty-free imports of agricultural products from Ukraine for a one-year period. The U.S. is reportedly considering lifting a ban in potassium fertilizer from Belarus if the country will allow the export of Ukrainian ag products through to Lith...
Conglomerate Vision; Policy Confusion
Conglomerate Vision Agribusinesses are paying attention. They along with oil companies are being blamed for inflation via gouging. There is an effort to ramp up the trustbusters, provide taxpayer incubator funds (subsidies) for startup competitors, and now even invoke the war-time Defense Produ...
Misdiagnosed; Potemkin Trade Policy
Misdiagnosed U.S. Treasury Secretary Janet Yellen said this week that, “Higher food and energy prices are having stagflationary effects, namely depressing output and spending and raising inflation all around the world.” She pushed for increased international food aid and advised int...
Market Commentary: Wheat Scores New Highs; Soybeans Rally on China Buying Rumors; Cattle Fall on Weak Cash Trade
The CBOT traded a generally bullish day with wheat futures forging a classic bullish day on the charts. Wheat futures opened higher, traded sharply lower to test support in yesterday’s chart gap, then settled higher after forging new contract highs. World wheat risks abound, and the only...
Friend-shoring Agriculture; Import Sensitivity
Friend-shoring Agriculture When the EU-U.S. Trade and Technology Council (TTC) platform was launched last fall, there was no war in Ukraine, and there was no mention of food. The second TTC meeting concluded today focused heavily on Russia and includes a new dialogue on changing the current foo...
European Market Analysis
Regional News Drought in Europe is becoming increasingly concerning with projections for EU wheat yields deteriorating. Areas of western Europe and the Baltics have received as much as 50 mm of rain less than normal by this date with the drought affecting a wide swath of Europe from Spain...
WASDE Soymeal
SOYMEAL: USDA’s outlooks is for the U.S. soybean crush in 2022/23 to be 2.26 billion bushels, up 40 million from the 2021/22 forecast. Domestic soybean meal disappearance is forecast to increase 2 percent from 2021/22 with low soybean meal prices relative to corn. U.S. soybean...
WASDE Wheat
WHEAT: USDA’s outlook for 2022/23 is for higher U.S. wheat prices. U.S. 2022/23 wheat supplies are projected down 3 percent, as lower beginning stocks more than offset a larger harvest. All wheat production for 2022/23 is projected at 1,729 million bushels, up 83 million from...
Market Commentary: Paris, KC, Chicago Wheat Score New Highs; Soybeans Rally as China Buys
The CBOT was sharply higher in trade that continued the bullish reaction to Thursday’s WASDE report. All three wheat classes and new crop corn futures scored new contract highs, though CBOT wheat and corn pulled back to post modest losses for the day. Soybeans rallied sharply and are movi...