Despite occasional losses this Friday, the corn remained strong on the São Paulo Commodities Exchange (B3) in the weekly comparison, according to information from TF Agroeconômica. “The downward movement was mainly due to the decline in the international scenario and the dollar, given that at this time, when traders are looking for corn at the port with strengthened premiums, a combination of negative fluctuation for the currency and the reference exchange means less bargaining power in negotiations”, he comments.
“Analysts’ view, however, is that the highs will continue, due to factors such as the high harvest progress – which is currently close to 85% on average nationwide – and international demand, which has been strong for Brazil since the beginning of the month. September/24 closed at R$61.08, varying -R$0.31 on the day. +R$1.94 on the week. November/24 at R$64.90, -R$0.18 on the day, +R$2.04 on the week. January/25 at R$68.00, -R$0.40 on the day, +R$1.45 on the week.
Market analysis: High corn prices on B3
In Chicago, corn closed lower with profit-taking, but the week still has a positive balance. “The September 24 price, reference for our summer harvest, closed lower by -2.83 % or $ -11.50 cents/bushel at $ 394.50. The December 24 price closed lower by -2.55 % or $ -10.75 cents/bushel at $ 410.00”, it indicates.
“Rains in the center-east of the corn/soybean belt encouraged investment funds to take profits after five consecutive increases. In the American physical market, higher prices allowed producers to sell stocks, increasing the availability of grains,” he concludes.
Source: Leonardo Gottems | agrolink
