Agfax Buzz:
    May 2, 2014
    rice-freshly-harvested-03172014-featured

    Rice Market: Futures Show Strength but Exports Weak

    AgFax.Com - Your Online Ag News Source

    From The Rice Advocate, USRPA

    USDA raised World Market Price factors this week. The on-farm value of long grain rough rose 20 cents to $11.83 per cwt.

    This Week

    Rice futures showed some strength this week, making a high on Thursday, and closing today near the high for the day after selling off in the morning. We noted this week that the settlement price one year ago was within one cent of the current market — a true definition of a sideways market.

    Dips are being met with buying interest, and not generating big selling. The May contract has gone into delivery this week, and so far 178 contracts have been tendered, with the open interest falling to double digits — another sign that futures prices are too low to attract big selling, and that the cash market remains too high to play the delivery game on large quantities.

    The market remains wary of new crop, feeling that prices will fall quite a bit from current levels. Given the delays in planting in the Delta, this is increasingly unlikely, although September futures remain $1.00 below July futures. If trading futures, be very wary of the short side – this is our opinion.

    Exports

    It was a below-average week for export sales, with only 11,800 tons registered with USDA. Missing were any large sale of long grain rough rice, with the minor exception of 500 tons sold to Honduras. Long grain milled and brown sales totaled 8,100 tons, with the majority going to Haiti (6,300 tons), Plus Mexico and Canada.

    The Medium/short brown sand milled categories combined for an underwhelming total of 3,100 tons to Canada, South Korea, Japan, and Jordan. Easter Week, and a mid-week holiday (international Labor Day) this week provided some excuse for low levels of trading.

    This week’s export loadings totaled 56,000 tons, with long grain rough in the lead with a total of 23,100 tons split among Honduras, Guatemala, Costa Rica, and Mexico. Long grain milled and brown shipped out 8,100 tons, including 6,300 tons to Haiti.

    Canada, Mexico, and Yemen received most of the balance. Medium/short shipments were 17,600 tons, with 2,000 tons of brown leaving for Taiwan and 13,000 tons sailing for Japan — both from California. Exports to Jordan totaled 1,700 tons this week.

    Asia

    For yet another week, there have been only minor negative changes in Asian prices. Thai 100% Grade B finished the week at $390 for old crop and $400 for new crop, with parboiled at $420 per ton – all fob vessel. Vietnam’s 5% milled was called $390 per ton. Pakistan’s quotes were $420 for 5% milled and $440 for parboiled. And Indian rounds out the area quotes with $420 for 5% long grain and $400 for parboiled.

    Full report.


    Tags: , , , , , , , ,

    Leave a Reply

    Name and Email Address are required fields. Your email will not be published or shared with third parties.

    Agfax Rice News

    AFB Rice Close: Futures Mostly Higher10-22

    Arkansas: 2 Counties Designated Natural Disaster Areas10-22

    Don’t Just Piggy-Back on Others’ Prices in Ag Commodity Markets10-22

    Keith Good: APH Yield Exclusion Implementation Draws Praise — Mostly10-22

    Farm Shop Dream Requires Thoughtful Planning – DTN10-21

    Texas Crop Weather: El Niño Stalled Out but Cool, Wet Winter Still Predicted10-21

    USDA to Implement APH Yield Exclusion for 2015 Spring Crops10-21

    Arkansas: USA Rice Outlook Conference Set Dec. 7-9 in Little Rock10-21

    DTN Fertilizer Trends: High Costs May Alter Growers’ Tactics for 201510-21

    Keith Good: Tumbling Grain Prices May Prove Costly for Taxpayers10-21

    AFB Rice Close: Reverses Off Positive Early Trade10-20

    Mississippi: Rains Slow Harvest, Lodge Rice, Soybeans – USDA10-20

    Arkansas: Rains Damage Crops, Slow Harvest – USDA10-20

    Missouri: Corn Harvest Over Half Finished, Cotton at 30% – USDA10-20

    Herbicide Resistant Weed Summit’s Slides, Webcast Available Online10-20

    Louisiana: Soybean Harvested Wraps Up – USDA10-20

    California: Cotton, Rice Harvests Speed Along – USDA10-20

    Rice and Sugar: Thailand’s Quest for World Domination10-20

    Keith Good: Lawsuits Concerning GMO Corn Mount Against Syngenta AG10-20

    Rice Market: Sideways Movement Continues10-17

    Rice Crop: Delta Region Saw Harvest Delays with Storms10-17

    AFB Rice Close: Futures Recover from Early Losses10-17

    Mississippi: Harsh Oct. 13 Storm Should Not Hurt Yields10-17

    U.S. Energy: Narrowing Brent-WTI Spread Impacts Global Crude Markets10-17

    Gasoline Prices: Show 9-Cent Decline10-17

    Propane Stocks: Rise by 0.7M Barrels10-17

    Diesel Prices: Average Decreases 4 Cents10-17

    Keith Good: Bumper Grain Crops Create Harvest, Storage Issues10-17

    Arkansas Agriculture Secretary Calhoun Retiring10-16

    Global Ag: Ebola Hits West Africa Hard – DTN10-16

    U.S. Drought Outlook: Improvements for Southwest, Southern CA10-16

    Rice Outlook: U.S. Production Projection Raised to 220.7M Cwt10-16

    Resistant Weeds: USDA Accelerates the Fight — DTN10-16

    Keith Good: Beige Book — Observations on Ag Economy10-16

    Keith Good: Fed Cattle Prices Headed for Another Record — Economist10-16

    AFB Rice Close: Reverses Direction and Ends Lower10-15

    Keith Good: World Rice Production to Dip; China May Boost Corn Imports10-15