Reading Time: 2 minutes Paris | Reuters — Louis Dreyfus’ core earnings fell for a second year in 2016 amid a persistent high supply of crops, but the agricultural commodity trader said a revamp of operations should help results this year. Large inventories, low prices and limited volatility have curbed margins in the past two years for companies that […] Read more
Dreyfus sees recovery after two-year profit slide
U.S. grains: Wheat ends up three per cent
Reading Time: 2 minutes Chicago | Reuters — U.S. wheat futures climbed about three per cent on Wednesday on a mix of technical buying and enthusiasm over a larger-than-expected wheat purchase by top global importer Egypt a day earlier, traders said. Corn and soybeans also rose, supported by fund investment at the start of a new month and carry-over […] Read more
U.S. grains: Corn and wheat up as crude oil soars
Reading Time: 2 minutes Chicago | Reuters — U.S. corn and wheat prices each rose more than one per cent on Tuesday as strength in crude oil helped the broader commodities sector rebound from sharp declines a day earlier, analysts said. Soybean futures were modestly higher, supported by bullish monthly U.S. crushing data. Chicago Board of Trade December corn […] Read more
Egypt stocks up on strategic commodities ahead of devaluation
Reading Time: 2 minutes Cairo/Abu Dhabi | Reuters –– Egypt said it plans to build a six-month reserve of essential food items, adding to other recent purchases of commodities such as oil and wheat, in what traders said was a move to build up stocks ahead of a currency devaluation. Prime Minister Sherif Ismail said late on Tuesday the […] Read more
Louis Dreyfus stems profit slide, but headwinds persist
Reading Time: 2 minutes Paris | Reuters — Agricultural trading giant Louis Dreyfus Company eked out a small rise in 2016 first-half net profit, saying steady shipped volumes helped it weather another tough period in commodity markets. Louis Dreyfus has been grappling with ample supply, lower prices and slower economic growth that have cut margins, while also going through […] Read more
OPEC announcement could boost ag markets, maybe
Reading Time: 2 minutes CNS Canada — The bearish malaise that has gripped the North American agricultural market shows no sign of breaking soon, and it could take a major disruption, say such as a hike in oil prices, to lead the way higher, according to some industry watchers. “Let’s say we go to US$55 (per barrel). That would […] Read more
ICE weekly outlook: Canola in need of outside catalyst
Reading Time: < 1 minute CNS Canada — Canola contracts on the ICE Futures Canada platform held within a rather narrow range during the week ended Wednesday, but moved higher overall. However, further gains will take an outside catalyst, according to a market analyst. “There’s a very firm tone to the market,” said Errol Anderson of ProMarket Communications. Fund traders, […] Read more
Glencore to cut more debt as 2015 profit falls
Reading Time: 2 minutes London | Reuters — Glencore stepped up its debt reduction plan on Tuesday by promising to offload more assets to shore up its finances to cope with a commodities rout that wiped around a third off its 2015 profit. The Swiss mining and trading house, whose agricultural arm includes Canadian grain handling giant Viterra, aims […] Read more
Could we see a Lehman Brothers-style collapse in grain markets?
There's a big difference to market noise and market reality. We ask Errol Anderson, is it all just talk?
Reading Time: 6 minutes At the heart of the issue is something known as a letter of credit, or LOC. These are essentially promissory notes that are backed by a financial institution with credibility, and their purpose is to ensure the money is there. Now there’s a question hanging over global commodity markets in the form of the Anglo-Swiss […] Read more
Smallest ag markets biggest winners in commodities rout
Reading Time: 2 minutes New York | Reuters –– Some of the smallest niche agricultural commodities were the biggest winners this year as weather and disease raised concerns about tightening supplies, spurring a buying spree as an exodus of institutional cash punished oil, metals and grains markets. Cocoa, cotton, sugar and frozen concentrated orange juice on ICE Futures U.S. […] Read more
A message from April Stewart, Country Guide's Associate Editor
