- Today has seen the news that China’s six week shopping spree in which they have purchased 1.5 million mt of Australian wheat, and expect to purchase a season total of 3 to 4 million mt, add some further price support. Added to the 3.5 million mt already purchased from the USA, this brings the total to some 7 million mt.
- In its latest wheat tender today Egypt’s GASC has purchased 240,000 mt for delivery in Sep ’13, Romania and Ukraine with 120,000 mt each were, once again unsurprisingly, the successful origins. Interestingly in the line up of offers, nothing was on offer once again from the US, where FOB Gulf levels calculate some $10 to $15 per mt over Black Sea, French and E European levels. French and Russian offers were made but did not feature competitively this time round.
- Last night’s US crop condition report showed US winter wheat harvested at 81%, 6% above last week and just 1% off the five year average of 82%. Spring wheat condition was reported unchanged week on week at 68% good/excellent. In corn the crop condition was 63% good/excellent, again unchanged week on week but marginally ahead of trade expectation at 62%. The proportion of the crop reported to be silking was 71%, a gain from last week’s 43%. The soybean crop was seen as 63% good/excellent, one point behind trade expectation.
- One possible explanation for the lower soybean condition could be that late planting has left crops shallow rooted and susceptible to the dryer conditions, this despite the crop’s reputed tolerance of such conditions.