Some think the market has been quiet due to large Aussie crop and infrequency of attacks; others say prices should rise
SASKATOON — Grain markets should be reinstating a Black Sea war risk premium, say analysts. “I’m very surprised that we haven’t started to push a bigger premium into the wheat market, especially soft wheats, because of what’s happening,” said MarketsFarm analyst Bruce Burnett. Related stories: Russia has been stepping up its attacks on Ukrainian grain […] Read moreTag Archives StoneX
VIDEO: Plant nutrition begins one km underground
Nutrien’s potash mining operations in Sask. are part of a growing effort by suppliers to meet producers’ nutrient needs
ALLAN, Sask. — A lot has changed since Nutrien produced and shipped the first 1,000 tonnes of potash from its Patience Lake mine in 1959. For instance, the price of potash was around US$50 per ton back then. It is six times that value today, and this is a down year for prices. One thing […] Read more
Hurricane unlikely to fuel long-term fertilizer price increase, analyst says
Glacier FarmMedia – While the price of urea fertilizer has spiked at the Gulf of Mexico as Hurricane Milton bears down on Florida, that increase is unlikely to affect Canadian farmers much, said MarketsFarm analyst Bruce Burnett. “There has a been a spike in the market down at the Gulf, so that eventually translates to […] Read more
Canola flies into soybean headwinds
A large soybean crop in the United States and sluggish exports have not allowed the canola market to make a move
SASKATOON — The soybean market is wrestling with a couple of bearish factors that are preventing the oilseed from rallying, says an analyst, and that is weighing down a canola market desperately attempting to gain some traction as of the end of August. The U.S. Department of Agriculture forecast a record 124.9 million tonnes of […] Read more
Urea supply tight as China keeps exports low
SASKATOON — Global urea supplies are constrained, according to analysts. One of the main reasons for that tightness is the lack of exports from China, said Harry Minihan, editor of Argus Nitrogen. Related stories: At the start of the year, he was anticipating China would ship out three to four million tonnes of the product […] Read more
Tightening urea supply may see prices increase
The addition of global production capacity is expected to slow down due to companies' reluctance to build new plants
SASKATOON — The global urea market is expected to tighten up in the coming years, according to a leading manufacturer of the product. The peak of new capacity additions has passed and there is significantly lower supply growth from 2024 onward. Related stories: “This clearly indicates a tightening supply-demand balance longer term,” Yara International chief […] Read more
All eyes on Russian weather as wheat rebound
Russia is experiencing a rough transition from El Nino to La Nina, which could significantly bite into yields this year
SASKATOON — Wheat futures have gained back much of the ground they lost since the start of the year in the last couple of weeks. And there could be further appreciation on the horizon if World Weather Inc.’s forecast for Russia proves accurate. Related stories: There is a tendency for ridge-building in parts of Russia […] Read more
Dry summer still indicated
SASKATOON — World Weather Inc. believes much of the United States and portions of the Canadian Prairies will experience drought in the summer of 2024. That forecast is based on an analysis of the 18-year lunar cycle. “I’ve looked at six analog years and all six of them have a drier and warmer bias for […] Read more
Corn prices fall as supplies expected to increase
Some believe ending stocks will soar to 67 million tonnes by the end of 2023-24, up from 35.98 million tonnes this year
Arlan Suderman, chief commodities economist with StoneX, believes ending stocks will soar to 67 million tonnes by the end of 2023-24, up from 35.98 million tonnes this year.
Profitability has been squeezed but situation not terrible
If the world remains more concerned about a recession than it does about hunger and higher food prices, farmers might have to wait through some glum months of disappointing prices and high costs until there’s better profitability.
But if those tightening stocks keep getting tighter, farmers’ profitability situation might get brighter in a hurry.
