The rice market remains quiet as new crop continues to develop and the market doldrums persist. Asian pricing has been sideways since the last week’s report and while the export sales numbers for the week have not been released at the time of writing, nothing spectacular is expected from that report either.
The weekly world market price estimate from USDA saw a lowering of world price expectations in the most recent installment. Given the lack of new information, this is not surprising either.
Domestic cash markets have been generally silent. Although some lots have traded at current levels for early delivery, the remainder of new crop is still outstanding and will almost certainly remain so until new crop harvest. Crop development is reported to be progressing well in most states which given the overall lack of volume in old crop, will be much needed in a few months.
The futures market over the week has been a bit of a roller coaster with both gains and losses being reported for all of the open contracts. If trends persist, Fridays trading will probably see another down day which will put the contracts in the red for the week.
On balance, the market is and will be quiet for some time. Unless some unforeseen source of demand materializes in the next month or two, the status quo is unlikely to change.