Latest news with #IKONCommodities
Business Recorder
29-07-2025
- Business
- Business Recorder
Chicago soybeans drop
BEIJING: Chicago soybean futures fell on Monday, weighed down by abundant global supplies, sluggish demand and benign weather across the US Midwest. The most-active soybean contract on the Chicago Board of Trade (CBOT) declined 0.29% to $10.18 per bushel by 0252 GMT. 'Soybeans continue to be under pressure from the large US and global crops coming our way soon. It's hard for that market to get any real lift for the next few months,' said Ole Houe, director of advisory services at IKON Commodities in Sydney. Weak export demand further weighed on soybeans, with recent weekly US export sales hovering at the lower end of trade estimates. Corn fell 0.44% to $3.98 a bushel, weighed down by soft global demand and expectations for a large US harvest, underpinned by favourable weather conditions in the Midwest crop belt. Wheat dropped 0.19% to $5.37 a bushel, as ongoing harvests across the Northern Hemisphere boosted global supply. 'Wheat is the odd one out where current US prices are cheap enough to attract global demand. We think wheat is more skewed to a rally than to a further fall,' Houe said. On the tariff front, the United States and European Union struck a framework trade agreement on Sunday, imposing a 15% import tariff on most EU goods and averting a bigger trade war between the two allies that account for almost a third of global trade. The South China Morning Post reported on Sunday that Beijing and Washington were expected to extend their tariff truce by another three months at trade talks in Stockholm beginning on Monday. Traders were also taking positions ahead of the Trump administration's August 1 tariff deadline. In China, the agriculture ministry warned last Friday that high temperatures and drought might persist in some parts of the country and have adverse impacts on autumn grain production.
Zawya
28-07-2025
- Business
- Zawya
Chicago soybeans drop on abundant global supply, wheat and corn also fall
BEIJING/HAMBURG - Chicago soybean futures fell on Monday, weighed down by abundant global supplies, sluggish demand and benign crop weather across the U.S. Midwest. Corn was pressured by expectations of a large U.S. harvest, with favourable weather expected in the Midwest crop belt. Wheat was weakened as accelerating harvests across the Northern Hemisphere boosted global supply prospects. Chicago Board of Trade most-active soybeans were down 0.6% to $10.14 a bushel at 0935 GMT. Corn fell 0.8% to $3.96 a bushel, wheat dropped 0.9% to $5.33-1/2 a bushel. "Soybeans continue to be under pressure from the large U.S. and global crops coming our way soon. It's hard for that market to get any real lift for the next few months," said Ole Houe of IKON Commodities in Sydney. Weak export demand further weighed on soybeans, with recent weekly U.S. export sales disappointing. On tariffs, the United States and European Union struck a framework trade agreement on Sunday, imposing a 15% import tariff on most EU goods and averting a bigger trade war between the two allies that account for almost a third of global trade. 'Tariff elimination of some agricultural products was mentioned in the U.S./EU deal but the lack of any detail means no judgement can be made on it,' one German trader said. 'But there is overall relief that a damaging U.S./EU trade war has been avoided.' Wheat is suffering from the double burden of low demand and big supplies on the way from harvests in the U.S., EU and Black Sea, the German trader added. 'There are hardly any wheat purchase tenders in the market as the week starts,' he said. 'Russian farmers have been unwilling sellers of new crop. But as the Russian harvest expands farmers may be compelled to sell more for export, they cannot store everything.'
Zawya
24-07-2025
- Business
- Zawya
Wheat recoups some losses, but ample supply caps gains
CANBERRA/PARIS - Chicago wheat futures on Thursday clawed back some of their losses from a day before, although expectations of plentiful global supply limited the recovery and held prices near recent lows. Corn futures rose slightly, but forecasts for crop-friendly rain in U.S. grain belts capped the gains. Soybeans increased amid news that China will reduce hog production and look for alternatives to soybean meal in feed rations. The most-active wheat contract on the Chicago Board of Trade (CBOT) was up 0.2% at $5.41-3/4 a bushel at 1117 GMT, after falling 1.6% on Wednesday. Prices had slipped to a five-year low of $5.06-1/4 in May. CBOT soybeans were up 0.4% at $10.27 a bushel and corn rose 0.5% to $4.19-1/2 a bushel. U.S. wheat is now cheaper than wheat from Europe or top exporter Russia, said Ole Houe, director of advisory services at IKON Commodities in Sydney. "U.S. wheat is ultra-competitive," he said. "The U.S. is finding plenty of demand that should have got to Russia... every time you get down to the sort of levels where we are today, you tend to jump back up again two days later." That said, Russian prices are likely to fall in the coming weeks as the country's new harvest - which is expected to be large by historical standards - flows into the market, he said. Separately, a senior official said India, the world's second-biggest producer of wheat, was not immediately planning to sell wheat from government reserves as supplies are comfortable and prices stable. Meanwhile, updates from a crop tour of North Dakota's hard red spring wheat fields underlined expectations of a good harvest, with per-acre yields falling from last year's records but remaining above average. The market will be watching for revisions to the U.S. Department of Agriculture's estimates when it releases its World Agricultural Supply and Demand Estimates report on August 12. Traders also hope that President Donald Trump will get foreign buyers to purchase more U.S. farm goods. Negotiations over a U.S.-European Union deal are ongoing and U.S.-China talks are scheduled for next week. Prices at 1117 GMT Last Change Pct Move CBOT wheat 541.75 1.25 0.23 CBOT corn 419.50 2.00 0.48 CBOT soy 1027.00 4.25 0.42 Paris wheat 199.00 -0.50 -0.25 Paris maize 56.48 0.34 0.61 Paris rapeseed 475.75 -0.75 -0.16 Euro/dlr 1.17 0.00 -0.18 Most active contracts - Wheat, corn and soy US cents/bushel, Paris futures in euros per tonne.
Zawya
07-07-2025
- Business
- Zawya
Wheat falls more than 2% on supply pressure
Chicago wheat futures fell more than 2% on Monday as ample supplies from continuing Northern Hemisphere harvests weakened sentiment. Corn and soybeans also fell on expectations of bumper U.S. production as trading resumed after a U.S. holiday on Friday. "There is general harvest pressure in the wheat market," said Ole Houe of IKON Commodities in Sydney, adding that U.S. wheat had rallied to a level where it was uncompetitive. The Chicago Board of Trade's most active wheat contract fell 2.2% to $5.44-1/4 a bushel by 1014 GMT. Corn lost 2.9% to $4.24 a bushel and soybeans retreated 1.9% to $10.28-1/4 a bushel. Wheat prices were weakened by an accelerating U.S. harvest and big crops in the Black Sea region and western Europe. "Attention is moving to the U.S. Department of Agriculture (USDA) U.S. crop progress reports later on Monday," one trader said. "Generally dry U.S. weather should allow good U.S. wheat harvest progress this week." Additional downward pressure on wheat was applied by reports that Russia had cut its wheat export tax to zero, raising the prospect of larger Russian shipments. It is the first time the tax has been removed since its introduction in 2021 to protect Russia's domestic market from price rises by discouraging exports. Traders were also concerned about the uncertain outcome of trade talks between the United States and its key partners, particularly China, the world's largest soybean importer. The United States is close to finalising several trade agreements in the coming days and will notify other countries of higher tariff rates by July 9, President Donald Trump said on Sunday. The EU will cut Ukrainian wheat imports by up to 80% to address its farmers' concerns, quotas showed on Friday in a move that could steer Ukrainian exports to Asia and Africa. (Reporting by Michael Hogan in Hamburg and Naveen Thukral in Singapore Editing by Sumana Nandy, Rashmi Aich and David Goodman)
Business Recorder
07-07-2025
- Business
- Business Recorder
Wheat falls more than 3% on supply pressure; corn, soybeans drop
SINGAPORE: Chicago wheat futures slid more than 3% to a one-week low on Monday, as ample supplies from the ongoing Northern Hemisphere harvest dragged down the market. Corn and soybeans fell about 1.3% on expectations of bumper US production as trading resumed after the US Independence Day holiday on Friday. 'There is general harvest pressure in the wheat market,' said Ole Houe, head of advisory services at IKON Commodities in Sydney. 'US futures in particular for wheat had rallied to a level where US was uncompetitive.' The most-active wheat contract on the Chicago Board of Trade (CBOT) fell 3.2% to $5.46-1/4 a bushel, as of 0230 GMT, after hitting its lowest since July 1 earlier in the session. EU wheat eases in US holiday lull Corn lost 1.4% to 4.27-1/2 a bushel and soybeans shed 1.4% to $10.33-3/4 a bushel. Wheat prices are being anchored by an accelerating US winter crop harvest and big crops in the Black Sea region and western Europe. There was additional pressure on the wheat market as Russia, the world's No. 1 supplier, decided to cut its export tax to zero. It is the first time the tax has been removed since it was introduced in 2021 to protect the domestic market from price spikes and to discourage excessive exports. Drought in the Rostov region, Russia's top wheat and grain producing region in 2024, is not seen affecting the overall grain harvest in Russia, Agriculture Minister Oksana Lut said on Friday, the state RIA news agency reported. Participants in agricultural markets are closely watching the outcome of trade talks between the United States and its key partners, particularly China, by far the world's largest soybean importer. The United States is close to finalising several trade agreements in the coming days and will notify other countries of higher tariff rates by July 9, President Donald Trump said on Sunday, with the higher rates to take effect on August 1. The European Union will cut Ukrainian wheat and sugar imports by up to 80% to address its farmers' concerns, according to quotas announced on Friday, that are likely to drive Ukraine growers to sell more to markets in Asia and Africa.
