Wednesday (24) comes to an end with corn futures prices registering positive movements on the Brazilian Stock Exchange (B3). The main prices fluctuated in the range between R$57.75 and R$62.05.
The May/24 maturity was quoted at R$57.75 with an increase of 0.21%, July/24 was worth R$57.84 with an appreciation of 0.42%, September/24 was traded for R$59, 08 with a gain of 0.14% and November/24 had a value of R$ 62.05 with an increase of 0.19%.
Brandalizze Consulting’s Market Analyst, Vlamir Brandalizze, highlights that the indications for the second half of the year are already better than the spots at the moment and tend to get even better.
“B3 itself already shows an additional R$4.00 difference between the May and November positions. But it still continues to lag because the market is not yet looking at the effective off-season, which is a much smaller off-season than last year,” says Brandalizze.
Agrinvest’s analysis also added the role of the rise in the dollar and the concern about drier weather in the Central region and states of MS, PR and SP in the coming days, as creating important support for price appreciation on B3.
In the Brazilian physical market, the price of a bag of corn also had positive results this mid-week. The survey carried out by the Notícias Agrícolas team identified appreciation in the squares of Sorriso/MT and Eldorado/MS.
Check out all the quotes this Wednesday
Agrinvest analysts highlight that, after an increase in corn sales last week, “the pace of commercialization is already showing a weakening, due to the devaluation of the dollar, which went from almost R$ 5.30 to R$ 5.15, maintaining the calmer attitude of buyers. The selling side is also more cautious, as with the climate becoming drier again, especially in PR and MS, concerns about a crop failure are back on the radar.”
External market
International corn future prices ended Wednesday’s trading session recording negative movements on the Chicago Stock Exchange (CBOT).
The May/24 maturity was quoted at US$ 4.37 with a devaluation of 5.25 points, the July/24 was worth US$ 4.48 with a loss of 4.00 points, the September/24 was traded for US$ 4, 58 with a drop of 2.75 points and December/24 had a value of US$ 4.72 with a drop of 2.00 points.
These indices represented declines, in relation to last Tuesday’s closing (23), of 1.19% for May/24, 0.88% for July/24, 0.60% for September/24 and 0.42% for December/24.
According to information from the international website Farm Futures, corn prices succumbed to a round of technical selling on Wednesday that led to moderate losses, as planting progress continues in the Midwest this week, creating seasonal downward pressure .
Additionally, the publication highlights that ethanol production continued to decline after the EIA (United States Energy Information Administration) reported a daily average of 954,000 bushels in the week ending April 19.
“This was the second consecutive week in which volume did not reach the 1 million barrels per day reference and was the lowest weekly total since mid-January,” points out Jacqueline Holland, analyst at Farm Futures.
Ahead of the USDA export report released Thursday morning, analysts expect the agency to show corn sales ranging between 16.7 million and 49.2 million bushels for the week ending in April 18th.
