Wheat is not just wheat. There are multiple varieties bred for different purposes from durum to noodle wheat. There are also multiple futures contracts which can be used based on quality and geography. In this article we will be looking at Kansas and Chicago futures.In...
With a new month comes new opportunities. This week we take a look at the futures market and basis levels around Australia. Let’s start with the global picture. The market has largely traded in a sideways motion since the end of July, with December Chicago futures...
The end of July sees Australia and the US once again starting to diverge away from one another, with drought concerns coming to the fore. In this week's comment, we briefly discuss the direction of the market and the recent external administration of another grain...
You should have started your grain marketing program by now, but if you haven’t it’s time to start keeping an eye on the market. In this series of articles, we will examine the seasonality in pricing for wheat across the country. This week we will...
In this week’s comment we take a look at local pricing and the current environment in Europe. Will the weather help or hinder the crop? The futures market has largely been bereft of data to drive it during the past week and has largely traded in...
In the past week A$18 has been lost from the December CBOT wheat futures, back to mid-May levels.Figure 1 outlines the movements of the wheat market since the start of the season. The reasons for the recent falls are as follows:Harvest has commenced in...
In this analysis we look at the overall Chicago wheat each year since 1973 to examine the skewness of the market. This provides an indication of how far the market trades from the normal distribution and provide some insight into where prices have historically been.In...
It is important to keep an eye on the market for pricing opportunities, especially beyond the current season.In the past few years, there have been excellent opportunities at this point of the year to lock in strong futures levels, especially offshore. How does it stack...
The bulk of the world’s wheat crop is produced in the northern hemisphere, if something goes wrong there it can have a colossal impact upon pricing. Overnight the USDA released their July WASDE report. In this week’s comment, we will look at who the winners...
The wheat market has well and truly entered the volatile northern hemisphere weather market. It looked for a while like the wheat market was only moving in one direction. However, the past week has seen a retreat in pricing.The wheat market and I have something...