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World grain market: wheat prices continued to rise, corn and soybeans fell in price on Wednesday
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World grain market: wheat prices continued to rise, corn and soybeans fell in price on Wednesday

Wheat futures on the Chicago Mercantile Exchange have increased due to concerns about the trade corridor in the Black Sea. Prices for soybeans and corn have decreased due to rains in Brazil. The US Department of Agriculture has confirmed the sale of American wheat to China. The rains in Brazil are expected to provide some relief to soybean plantations. A record soybean harvest is forecasted in Brazil. Wheat quotes on the French Exchange have decreased. Exchange rates as of November 22, 2023: 87.8701 rubles = US dollar, 96.2561 rubles = euro, 64.0173 rubles = Canadian dollar, 48.0028 rubles = 10 South African rand.

23 November 2023 23 November 2023

Chicago Board of Trade (CBOT) wheat futures rose for a second straight day on Wednesday, November 22, 2023, as reports of attacks on Ukraine's Black Sea port infrastructure fueled concerns about the safety of the existing trade corridor. At the end of the trading day, December quotations of soft winter wheat on the Chicago Mercantile Exchange CBOT rose to $204.20 per ton, December futures of hard winter wheat KCBT in Kansas City dropped to $225.79 per ton, December futures of hard spring wheat MGEX in Minneapolis dropped to $261.15 per ton.

Chicago wheat edged higher again on Wednesday as escalating tensions in southern Ukraine continue to fuel concerns about trade in the Black Sea. Soybean futures fell as rain in Brazil eased fears of a crop decline due to drought, and corn prices also fell.

December wheat futures on the Chicago Board of Trade (CBOT) rose to $5.55-3/4 a bushel.

The wheat market found support after the USDA confirmed the sale of 110,000 tons of US soft red winter wheat to China in the 2023/24 season.

January CBOT soybean futures fell to $13.56-1/2 a bushel, while corn fell to $4.68-3/4 a bushel.

In Brazil, the world's largest soybean exporter, showers this week are expected to bring "modest relief" to Brazilian soybean crops before hot, crop-harming conditions return next week, Commodity Weather Group said.

Brazil's soybean harvest is expected to reach a record 161.6 million tonnes in the current 2023/24 season, agribusiness consultancy Agroconsult said, despite weather challenges.

At the Chicago Board of Trade (CBOT) on Wednesday, contracts for delivery in December, January:

wheat (DCBR 2023) - 204.20 dollars/t (17940 rubles/t) - plus 0.14%;
corn (DCBR 2023) - 184.55 dollars/t (16,220 rubles/t) - minus 0.27%;
soybeans (Jan. 2023) - 498.42 dollars/t (43,800 rub./t) - minus 1.51%;
rice January (Jan 2023) - 847.62 dollars/t (74,480 rubles/t) - minus 1.14%;
rapeseed (ICE, Jan. 2023) - 705.20 cad/t (45,140 rub./t) - minus 2.22%.

On Wednesday, the French wheat market declined. At the end of the trading day, December quotes for milling wheat on the Parisian MATIF exchange dropped to €224.00 per ton (in dollar equivalent - to $244.36). March corn quotes rose slightly to €206.00 per ton (in dollar equivalent they decreased to $224.73).

On the Paris Exchange (MATIF) on Wednesday, quotes for December and March contracts at the closing of trading were:

milling wheat (DCBR 2023) - 244.36 dollars/t (21,470 rubles/t) - minus 0.93%;
corn (March 2023) - 224.73 dollars/t (19,750 rubles/t) - plus 0.45%;
sunflower (nbr. on the SAFEX exchange - 9141.00 zar./t (43880 rub./t) plus 0.45%;
sunflower oil (nbr. Rotterdam, bulk FOB) - 975.00 USD/t (85670 RUB/t) plus 52%.

For reference, exchange rates as of 11/22/2023:
87.8701 rub. = US dollar
96.2561 rub. = Euro
RUB 64.0173 = Canadian dollar
RUB 48.0028 = 10 South African rand

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