Image: Pixabay
Porto Alegre December 14, 2020 – The Chicago Mercantile Exchange (CBOT) for wheat closed with prices falling sharply. The market fears a consistent increase in the supply of Russian wheat on the market in the short term, anticipating the sales restriction measures that will be adopted by that country. Weak export inspections from the United States completed the negative scenario.
Inspections of North American wheat exports reached 261,164 tons in the week ending December 10, according to a weekly report released by the United States Department of Agriculture (USDA). The number was below market estimates of 510 thousand tons.
In the previous week, wheat export inspections had reached 536,881 tons. In the same period last year, the total inspected was 512,778 tons. In the crop year, which began on June 1st, inspections totaled 13,733,327 tons, compared to 13,567,944 tons in the previous crop year.
At today's close, contracts for delivery in March 2021 were priced at US$ 5.96 1/2 per bushel, a loss of 18.00 cents, or 2.92%, compared to the previous close. Contracts for delivery in May 2021 were trading at US$ 5.98 1/2, down 15.50 cents, or 2.52%, from the previous close.
Dylan Della Pasqua (dylan@safras.com.br) / SAFRAS Agency
