With a growing share of global wheat trade, Russia, Ukraine and Kazakhstan — former Soviet Union countries — have become price setters in the world wheat market over the last few years. As Bill Tierney, chief economist with AgResource Company, points out in this Wheat School episode filmed at Cereals North America ’15, much of… Read more »
Category: Cereals North America ’15
Canola School: Canola Prices Capped by Tight Crush Margins, Heavy Oil Supplies
While the lower value of the Canadian dollar is supporting prices, canola values are still caught in a global oilseed market weighed down by heavy supplies. “It’s a bit of a mixed bag for canola, within the context of a lot of negative things,” explains Shaun Wildman, Regina-based senior trader with Seaboard Corp, in this… Read more »
Weather Scare in Grain Markets Unlikely While El Nino Sticks Around
When it comes to long term weather outlooks, water temperatures in the Pacific Ocean are often used to predict what’s to come. For grain markets weighed down by large global supplies, the main Pacific indicators are showing no sign of an imminent weather issue reducing grain production, says a meteorologist who spoke at the Cereals North America market outlook conference… Read more »
Tough Outlook for Grain Markets as Production Simply Exceeds Demand
Grain markets can be complex, but there are times when simple economics are all that’s needed to describe a situation. If supply grows faster than demand, then prices drop. “World demand for grains — corn, soybeans and wheat — is up less than 1 percent, while global production is up a little over 2 percent, so… Read more »