Wheat, Corn Futures Get Boost From Brexit Worries
Wheat contracts for May delivery rose 1.2% to $4.52 3/4 a bushel on the Chicago Board of Trade on Thursday, as traders watched the tussle over Brexit to determine if U.S. wheat would have a difficult time competing pricewise with other European wheat. Corn contracts for May delivery rose 1% to $3.70 1/4 a bushel. May soybean contracts fell 0.3% to $8.98 1/2 a bushel.
Wheat rallied on expectations of what effect a delayed Brexit would have on prices, according to Mike Zuzolo of Global Commodity Analytics & Consulting. The U.S. grains market expects more difficulty competing with European wheat overseas if Brexit had softened the British currency and pushed down the euro as well, Mr. Zuzolo said. "With this no hard Brexit vote yesterday, we're finding support off of that," he said. Corn's uptick was the result of following wheat's lead, Mr. Zuzolo said.
Corn, Wheat Exports Miss Expectations; Soybeans Hit Target -- Market Talk
09:11 ET - Export sales of both corn and wheat missed forecasts made by analysts, with net wheat sales for the week ending March 7 coming in at 263,000 metric tons and corn sales ending at 372,000 tons -- both missing analyst estimates handily. Meanwhile, soybean sales totaled over 1.9M tons of sales, with 1.7M tons of those sales heading to China. This figures places soybean sales this week at the high-end of analyst estimates. Wheat futures have been sagging recently due to a lack of global interest in U.S. wheat. According to the USDA, Nigeria purchased 106,300 tons of wheat, leading buyers this week. For corn, South Korea led the way with 120,200 tons sold to South Korea. (email@example.com, @kirkmaltais)
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USDA Announces Recall of Contaminated Pork Sausages -- Market Talk
08:51 ET - The USDA has announced the recall of approximately 191,928 pounds of ready-to-eat pork sausage produced by Monogram Meat Snacks LLC, which according to the agency is being recalled due to product tampering following the production process. The recall covers a wide swath of Duke's-brand smoked shorty sausages, which are available in 5-ounce packages. According to the USDA, there has been no reports of sickness due to the consumption of a contaminated package, but the agency urges consumers to either throw away for return any affected product they may have. (firstname.lastname@example.org; @kirkmaltais)
Wessanen in Talks Over EUR875 Mln Bid Led by PAI Partners
Koninklijke Wessanen NV (WES.AE) said Thursday that it is in talks over a potential takeover offer from a consortium led by private-equity firm PAI Partners and U.S. investor Charles Jobson, valuing the Dutch food company at around 875 million euros ($989 million).
The company, which owns brands including Clipper Teas and Whole Earth, said talks are continuing over an offer at EUR11.50 a share.
Hog Futures Continue Rally Amid News of Chinese Buy -- Market Talk
15:01 ET - Lean hog futures finish trading on the CME up 3.7% at 65.8 cents a pound. The rally took a break yesterday, but roared back amid news that China had purchased more pork from the U.S. than it has since April 2017. China's purchase of U.S. pork exports totaled 23,800 metric tons last week, which is more than the next four leading countries for the week combined. Market participants believe this is a sign that African swine fever has decimated pig herds in China to the point that China is struggling to meet its own internal demand. Live cattle settle up 0.6% to $1.274, following pork's momentum. (email@example.com; @kirkmaltais)