The Morning Vibe
19/10/10 -- The market has a treading water feel to it so far this morning, the overnight grains are a little firmer, but only modestly so.
The dollar is also firmer after US treasury secretary Tim Geithner says that he isn't a fan of using a weak currency to boost exports.
Ukraine's grain harvest is 96% done, producing 38.5 MMT compared to a final figure of 46 MMT last year.
Egypt are back in the market tendering for wheat today, with the results expected mid-afternoon.
China only sold 22% of the corn it put up for public auction this week.
India's top wheat producing state of Uttar Pradesh will increase output by more than 12% in the coming season to nearly 31 MMT, according to the state's agriculture director. Beneficial rains and an increased utilisation of higher yielding varieties will be behind the boost in output, he says.
George Osborne is in the limelight tomorrow and his every word will be scrutinised, along with the publication of this month's MPC minutes. Before that we've got Merv the Swerve speaking to UK business leaders today. I'm getting the word "volatility". I'd expect the pound to end the week lower than it started it.
The UK feed market has a "toppy" feel to it. Whether that is because the big price increases of the past few months are starting to hit demand, or if it is simply a case of "demand will pick up once winter arrives" remains to be seen.
Another school of thought is that many farmers doubled up their orders last month and will find themselves back to the trough in November.
Personally I'd tend to favour the former theory, not that I see prices completely falling out of bed mind. The way things look at the moment it could be a difficult winter, with tight supply equally matched by thin on the ground demand.
The domestic rape crushers seem to have suddenly found some more rapemeal to sell that they didn't know they had. Ditto the flour millers and their wretched wheatfeed. Both those markets seem to have turned on a sixpence.
Tarquin and Ptarmigan can push bits of paper around all day, it doesn't actually create one extra mouth to feed does it?
The dollar is also firmer after US treasury secretary Tim Geithner says that he isn't a fan of using a weak currency to boost exports.
Ukraine's grain harvest is 96% done, producing 38.5 MMT compared to a final figure of 46 MMT last year.
Egypt are back in the market tendering for wheat today, with the results expected mid-afternoon.
China only sold 22% of the corn it put up for public auction this week.
India's top wheat producing state of Uttar Pradesh will increase output by more than 12% in the coming season to nearly 31 MMT, according to the state's agriculture director. Beneficial rains and an increased utilisation of higher yielding varieties will be behind the boost in output, he says.
George Osborne is in the limelight tomorrow and his every word will be scrutinised, along with the publication of this month's MPC minutes. Before that we've got Merv the Swerve speaking to UK business leaders today. I'm getting the word "volatility". I'd expect the pound to end the week lower than it started it.
The UK feed market has a "toppy" feel to it. Whether that is because the big price increases of the past few months are starting to hit demand, or if it is simply a case of "demand will pick up once winter arrives" remains to be seen.
Another school of thought is that many farmers doubled up their orders last month and will find themselves back to the trough in November.
Personally I'd tend to favour the former theory, not that I see prices completely falling out of bed mind. The way things look at the moment it could be a difficult winter, with tight supply equally matched by thin on the ground demand.
The domestic rape crushers seem to have suddenly found some more rapemeal to sell that they didn't know they had. Ditto the flour millers and their wretched wheatfeed. Both those markets seem to have turned on a sixpence.
Tarquin and Ptarmigan can push bits of paper around all day, it doesn't actually create one extra mouth to feed does it?
