Wheat prices rebounded overnight regaining over half the losses seen over the Easter break. May Wheat futures finished up 25.75 USc/b to 696.5 with July and December futures up towards the same levels. Traders saw dry conditions in the southern and western wheat belts & talk that US wheat is cheap compared to the rest of the world as reasoning for strength. Improving demand and extremely cold conditions in the EU assisted in the rebound. Corn May finished slightly up 2.5 USc/b to 643, on talk that the market is in an oversold position and ideas that the Easter break will attract new buyer interest from end users. Sluggish news on ethanol production and the chance of record high crop production limited gains. May Soybean was the only major commodity to finish down overnight, down 10.5 USc/b to 1383. The selling activity was created by concerns from ongoing China demand, improved soil conditions in the Soybean growing regions of the US, and exports increasing out of Brazil. A new strain of Bird Flu in China has been identified and if it continues to spread it will cause uncertainty on the feeding industry in China causing bearish forces for Soybeans. May Cotton gained 35 points to close at 89.22. Firmed indications that China will continue to import Cotton and a smaller US 2013 Cotton crop have pushed Cotton futures back to recent highs. It is also reported world cotton consumption forecast for 2013-14 will exceed production by 1.1 million bales.
Domestically, the large decline in the futures market resulted in cash prices coming off up to $35/tonne for some wheat grades. The overnight gains has reversed this trend though the current market is still tentative with many buyers standing aside until the market settles down & finds some direction. Generally most grades of wheat rebounded $5/MT overnight with Sorghum generally up $4/MT. Mungbeans are firm on the back of reduced production in Australia -25Kmt this season vs 50Kmt last year, & strong demand from consumptive markets in the sub-continent, U.S.A & UK. We are agents for Blue Ribbon Grain & Pulses who are the largest exporter of mungbeans out of Australia. They have informed us that they do not want to miss any mungbeans, so please bring us through any reasonable offers you have as we believe we will get them booked for you. To give you an indication, we have been achieving prices of $50/mt above our published hectare bids. We would be able to do better than this on fixed tonnage. Ex-farm options are available, along with freight rebates to Goondiwindi for growers in the south.