RSS
Twitter
Linked In
News In
Markets Extra
Linked In
RSS
https://twitter.com/Agrimoney
http://www.newsnow.co.uk/h/Industry+Sectors/Agriculture

You are viewing 1 of your 2 complimentary articles.

Register now to receive full access.

Already registered?

Login | Join us now

Agricultural commodity prices in 2017 - winners and losers

Twitter Linkedin eCard

Agricultural commodity bulls will hardly remember 2017 as a vintage year.

 

The Bcom agriculture subindex fell by 11.9% to 47.5089, to record its lowest year-end since it started in January 1991 (with an index figure of 100.00).

 

And many contracts far underperformed that, with futures in Johannesburg-traded maize faring particularly badly, as a return of rains brought a sharp rebound in crop production in South Africa, and the need for values to price for exports – against a well-supplied international market.

 

However, the opposite dynamics were in play in Australia, where wheat production diminished by drought and late frost spurred purchasing needs in the east coast, driving some markets to import parity (which, in including shipping costs, is significantly higher than export parity).

 

Indeed, wheat prices worldwide actually fared better than might have been thought from downbeat trader talk, with values of high protein spring wheat performing notably well, after setbacks from drought to North American crops, while Germany’s hard winter wheat harvest was undermined by wet weather.

 

Livestock contracts also managed gains, helped by unexpectedly strong US beef and pork exports (up 12.5% and 6.7% respectively, on US Department of Agriculture estimates), which eased concerns over a rise in meat supplies prompted by herd rebuilding.

 

And cotton futures were supported somewhat by productions setbacks in the US and India, the top two exporters, but also by a rise in oil prices, which boosts the price of rival polyester, and by the continuing appetite for fibre auctioned from China’s state stockpiles – indicating healthy demand in the top consuming country.

 

Price performance of selected ag commodity futures over 2017

East coast Australia wheat (Sydney): +16.1%, (+25.6%)

Hard red spring wheat (Minneapolis): +14.3%

Feeder cattle (Chicago): +11.9%

Cotton (New York): +11.3%

Lean hogs (Chicago): +8.5%

Soft red winter wheat (Chicago): +4.7%

Live cattle (Chicago): +2.1%

Hard red winter wheat (Kansas City): +2.1%

Soymeal (Chicago): -0.1%

Corn (Chicago): -0.4%

Feed wheat (London): -1.9%, (+7.5%)

Canola (Winnipeg): -3.3%

Soyoil (Chicago): -3.9%

Soybeans (Chicago): -4.5%

Soft milling wheat (Paris): -5.4%, (+8.1%)

Arabica coffee (New York): -7.9%

Cocoa (New York): -11.0%

Rapeseed (Paris): -14.9%, (-2.8%)

Palm oil (Kuala Lumpur): -20.0%, (-11.3%)

Cocoa (London): -20.4%, (-12.8%)

Robusta coffee (London): -20.6%

Raw sugar (New York): -22.3%

White sugar (London): -24.7%

Yellow maize (Johannesburg): -40.8%, (-34.2%)

White maize (Johannesburg): -49.3%, (-43.7%)

 

Main figures show move over 2017 on a spot contract basis. Figures in brackets show moves in dollar terms.

Twitter Linkedin eCard
Related Stories

Evening markets: Ags outperforrm broader commodities for once, despite cocoa tumble

Agricultural commodities close higher overall, helped by the likes of corn, cotton and soymeal - but not wheat, which suffers after poor US export data

Key wheat supply reading to hit tightest in 11 years in 2018-19

World wheat stocks outside China, and notably in major exporting countries, may fall markedly next season, the IGC says

Cotton prices to stay strong and volatile - for now, says Rabobank

But prices later this year will feel pressure from higher US sowings, the bank says. Still, could the La Nina, or Indian setbacks, keep prices high?

US corn export sales jump, cotton data reassure

... and soybean export sales too were ahead of forecasts last week. But wheat’s performance, again, disappoints, official data show
Home | About | RSS | Commodities | Companies | Markets | Legal disclaimer | Privacy policy | Contact

Our Brands: Comtell | Feedinfo | FGInsight

© Agrimoney.com 2017

Agrimoney.com and Agrimoney are trademarks of Agrimoney Ltd
Agrimoney is part of the Briefing Media group
Agrimoney Ltd is registered in England & Wales. Registered number: 09239069