• IKAR in Mass Media

 

 → IKAR in Mass Media → #240

IKAR in Mass Media

Wheat Declines, Trimming Biggest Weekly Gain Since November

08 августа 2010 года

July 9 (Bloomberg) -- Wheat declined, trimming the biggest weekly advance in eight months, as some traders cashed in gains after a 20 percent jump in prices in the past six sessions.

September-delivery wheat lost as much as 1.1 percent to $5.4275 a bushel on the Chicago Board of Trade. The contract is set for an 8 percent gain this week, the biggest since the week ended Nov. 13. The U.S. Department of Agriculture will today announce its latest estimates on global supply of wheat, corn and soybeans.

“People want to take profits before the announcement,” Tetsu Emori, a commodity fund manager at Astmax Co. Ltd. said by phone from Tokyo. The 14-day relative strength index has been above 70 since July 7, a signal to some traders that prices have risen too fast and are poised to fall.

Still, the market may resume its rally, as dry weather continues to threaten crops in some of the world’s biggest exporters, he said.

“Very dry” weather conditions are expected in the Black Soils region of Russia to western Kazakh, putting late winter and spring grains under “significant stress,” Telvent DTN Inc. said in a forecast yesterday. Fairly hot weather was expected to develop through southwest and central France, it said.

France’s soft-wheat production will miss a government forecast after hot and dry weather hurt the crop, Michel Portier, head of farm adviser Agritel said July 7. The government forecast July 6 that the nation’s soft-wheat harvest, the largest in the European Union, will be 35.3 million tons this year, down from 36.2 million tons a year ago.

Russia’s wheat crop will be 3.5 percent lower than previously forecast at 55 million metric tons because of heat and drought, the Institute for Agricultural Market Studies, or IKAR said July 7.

Ukraine’s grain harvest will probably be between 42 million and 43 million tons, Nikolay Vernitsky, an analyst at Kiev-based consultancy ProAgro said yesterday. That’s smaller than the June government forecast of between 45 million and 45.5 million tons.

The nation’s wheat crop will total 20 million tons, and barley will be 11.5 million tons this year, according to Vernitsky.

The grain harvest in Kazakhstan, Central Asia’s biggest wheat exporter, may fall to between 14.5 million and 15.5 million tons from last year’s record, state-owned Kazinform cited Deputy Agriculture Minister Arman Yevniyev as saying yesterday.

Corn for December delivery fell as much as 0.6 percent to $3.94 a bushel in Chicago. It traded at $3.9475 a bushel, set for a 2.7 percent gain this week.

Soybeans for November delivery lost 0.4 percent to $9.42 a bushel, paring the weekly gain to 4 percent, the biggest such rise since the week ended April 16.

Source: Bloomberg  |  #grain   |  Comments: 0   Views: 35

There are no comments yet. Be the first!

Only authorized users can comment.