Monday Market Briefing - 3rd April 2023

A somewhat calmer mood last week as the market waited for the drama of the March USDA report which gives US farmers planting intentions and hence the first real estimate for the size of their 2023 crop. Some years this one can give us quite a curve-ball when unforeseen shifts in production change the mood of the market overnight, but on this occasion the numbers landed broadly close to expectations, there’s just a bit more wheat and corn going in than expected at the expense of soyabeans which was the only market to react upwards following the report in late Friday trade. Having safely navigated past this submerged rock, the bears may have another go at selling wheat again this week but with Easter meaning two shortened trading weeks ahead we may just see relatively calm markets for a time now.  

Not to be outdone the EU pushed out its own update last week showing crops still on track to return to pre-drought levels after 2022’s heat damaged debacle. At home, a wet final week of the month means we have had more rainfall in the South of England in Jan-March this year than we saw in the whole Jan-July period last year. We won’t be needing any more rain then.  In an increasingly familiar pattern,  when we have rain Iberia doesn’t and vice versa. Hence Spain is still in the grip of a severe drought which will inevitably now curtail their own production prospects this year.  

Lots to keep an eye on, and active markets to participate in, as always keep in touch with your farm trader for the latest bids.  

Have a good week and an enjoyable Easter, the Monday update returns on 17th April.