ODA Market Highlights - 04/01/2019

The Rebound Continues in Paris and Chicago

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Wheat prices continued their rebound on U.S. and European markets as problems with quality took shape in Argentina. Indeed, an Argentinean source confirmed that a shipment of Argentinean wheat was refused in Algeria due to a Hagberg issue. This boosted traders' optimism about the export dynamic for U.S. and French wheat.

Maize prices in Chicago profited from the support of soya and wheat, and were climbing as the European session ended. Euronext prices continued to rise in wheat's wake. The Jan.-19 expiry will close Monday.

Prices on oilseeds markets continued their movements on both sides of the Atlantic. On the soya complex, South American weather conditions continued to provide support to soybean and soya meal prices in Chicago. Some analysts have started to revise their soya production estimates for Brazil, ranging from 119MT for the most optimistic to 110MT for most pessimistic.

Oils followed a similar path with support from sharply higher crude prices of $58.2/bl for Brent.

Rapeseed prices made similar moves; however, they were penalised by Canadian canola's decline.

Lastly, the USDA announced that reports initially due out 11 January will be delayed due to the U.S. government shutdown.