Image: Pixabay
Financial market risk propensity on Monday morning supports cereal prices.
At 8:34 am (Brasília time) this Monday (12), the March corn contract on the Chicago Stock Exchange (CBOT) registered a moderate increase of 4.75 points and 0.74%, quoted at US$ cents 648.75/bushel; that of May rose 4.50 points and 0.70%, trading at US$ cents 649.75/bushel.
{module Form RD}
The cereal's March maturity closed last Friday's session (9) with a slight appreciation of 0.23%, supported by the monthly supply and demand report, released by the United States Department of Agriculture (USDA).
The North American body reduced the estimate of global cereal stocks for the 2022/23 harvest from 300.76 million tons to 298.40 million tons. The projection of global production for the new cycle went from 1.168 billion tons to 1.162 billion tons.
This morning, the risk propensity of the financial market was reflected – the index fell 0.07% – due to the relaxation of the zero covid policy in China.
However, gains were limited by the 0.76% drop in WTI oil on the New York Commodity Exchange (Nymex) and rain in Argentina over the weekend, which eased the production outlook for the South American country, which has been facing a severe drought.
Developments in the war in Eastern Europe and Ukrainian shipments through Black Sea ports remain on the radar. The USDA will release its weekly shipments report today.
Source: datagro
