Wednesday, May 18

Chicago grains firm on lingering worries over global supplies


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BEIJING — US wheat and corn futures rose further in early Asian trading on Thursday, on worries over global supplies as the Russia-Ukraine war continued.

FUNDAMENTALS

* The most-active wheat contract on the Chicago Board of Trade (CBOT) was up 0.6% at $11.28 a bushel.

*CBOT corn edged up 0.32% to $7.8-1/2 a bushel.

* CBOT soybeans rose 0.67% to $16.87-1/4 a bushel.

* Talks to end a strike among grain-truck drivers in Argentina failed, raising a threat to corn and soy export during the key harvest season.

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* Dry weather in the US Plains wheat belt continues to threaten the size and quality of the crop.

* Worries over the global grains supplies linger as the war between Russia and Ukraine rages on.

* China, the world’s top soybean importer, brought in 6.35 million tonnes of the oilseed in March, down 18% on year.

MARKET NEWS

* Asian shares tracked Wall Street higher, while US Treasury yields steadied and dollar retreated, as latest US data raised hopes that inflation may be close to peaking, though major central banks raised rates aggressively.

DATA/EVENTS (GMT)

0130 Australia Unemployment Rate March

1145 EU ECB Deposit Rate April

1145 EU ECB Refinancing Rate April

1230 US Retail Sales MM March

1230 US Initial Jobless Clm weekly

1400 US U Mich Sentiment Prelim April

1300 – IMF Managing Director Kristalina Georgieva discusses

upcoming IMF/World Bank spring meetings

1230 – Press conference following ECB Governing Council

meeting in Frankfurt (Reporting by Hallie Gu and Dominique Patton; editing by Uttaresh.V)



financialpost.com