InfoSAWIT, SINGAPORE – Corn price at Chicago Board of Trade got more expensive on Tuesday (27/8/20254) but it was still at the lowest level in the past four years. It happened when corn production in the United States of America hit the record and the selling of old corn by the farmers.
Corn contract price at Chicago Board of Trade (CBOT) got escalated 0,1% to be US$ 3,86-3/4 per bushel at 02:59 GMT, after it was in the lowest level since 2020 at US$ 3,85 per bushel on Monday.
As quoted from Reuters, wheat price got cheaper 0,2% to be $5,23-3/4 per bushel, and so did soybean, 0,2% to be $9,79-1/4 per bushel. The cheaper wheat mostly happened for the abundant supplies in Black Sea, while soybean was pressed by the massive harvest prospect in the USA.
Even though corn is still cheap, a trader in Singapore said,” We did not see the next decreasing price of corn from recent level because corn production in the USA hit the record and the markets had calculated it.”
Still from Reuters, the reports from harvest tour that ProFarmer advisory service conducted, reported that the harvest output hit the record in some soybean states, such as, Illinois and Iowa. The two reinforced the over - supply globally. ProFarmer reported that soybean harvest in the country would be more than what the government predicted.
But the hot weather and lack of rain in some regions of Midwest, USA could damage soybean during the development process. This also raised concern about harvest realization that was projected before.
In Europe, MARS, plantation monitoring service, Monday, minimized most of seed output prediction in average this year. It significantly got decreased for corn because of hot weather that had something to do with the plant in southeast Europe.
CPO Price Gets Cheaper
Crude palm oil (CPO) price at Malaysia Derivatives Exchange got cheaper on Tuesday after it got increase for four days in a row. It happened for the profit taking – action when the markets were sensitive because of the cheaper soyoil and crude oil.
Sathia Varqa, senior analyst of Fastmarkets Palm Oil Analytics mentioned that the profit taking action took place even though the external markets showed the power. “The profit taking minimized the purchasing moment,” he said.
CPO trader, David Ng said that the cheaper soyoil and crude oil, also burdent the traders’ sentiment. This had something to do with CPO price. “We saw the support at RM 3.850 per ton and its resistance at RM 4.000 per ton," David Ng said, as InfoSAWIT quoted from Bernama.
On the other hand, Hap Seng Consolidated Bhd (HSCB), a wealthy and diversified with six main businesses – company, including plantation, predicted that CPO prics pressure would go on, namely in the high season of harvest. The company mentioned that palm oil producers would face the challenges, such as, inflation and expensive costs of production.
In today’s closing trade, CPO for September 2024 delivery got cheaper RM 16 to be RM 4.005 per ton. October 2024 contract did too RM 8 to be RM 3.958 per ton, November 2024 contract did decrease RM 1 to be RM 3.923 per ton. December 2024 contract got decreased RM 6 to be RM 3.900 per ton, January 2025 contract would be the same RM 10 to be RM 3.889 per ton, and February 2025 contract also decreased RM 14 to be RM 3.882 per ton. (T2)
