Chicago is showing signs of weakness as funds and other players are taking profits.
From a fundamental point of view, few changes can be observed. However, the improvement in weather conditions in the US and France is encouraging producers to hedge at these price levels and financial operators to take profits on long positions.
On the international scene, we noted on Friday a new purchase of corn from China, 1.36 million tonnes of US origin.
FranceAgrimer posted an unchanged crop rating for wheat at 79% good to excellent. The situation is also unchanged for winter barley and durum wheat at respectively 76% and 69% of good to excellent. Spring barley has improved to 85% good to excellent from 82% the previous week. The recent rains, even if uneven, are providing some optimism for the upcoming crop.
Ukraine will experience a rainy week with between 15 and 60 mm of rain expected in the next 7 days, depending on the region. This rain is timely, more than three quarters of the maize and sunflower and 50% of the soybean crops are in the ground. This will help to compensate for potential yield losses due to the delay since the beginning of the spring. Neighbouring Romania should also be well watered along with the Russian Kuban.