This weather update is surely going to delay the crop harvest by a week to a fortnight depending on the quantum of rains we will receive. Arrivals are now starting to show in the markets and market is largely trading high moisture corn at the moment for new arrivals. Old crop is in demand to blend the cargo and clear the things.
We are yet to receive an update on the Telangana tender and the passing of 13k of AP tender. Once the harvest starts trade flows will be established and worked on. At the moment it looks like cargo will move in short distance rather than south to North flow. Destination prices are as below
Tamil Nadu :- 1400-1470
Bangalore :- 1380-1400
Ahmedabad :- 1330-1350
Bihar :- 1425-1430, High FD 1120-1140
North :- 1350-1400/Bihar origin@ 1500
Sangli :- 1350-1360
Oct/nov contract traded 1288/1300 with the open interest of 70 and 10 mt respectively. Spot prices were indicated at 1300 by the exchange.
International Market :-
We await the USDA report tomorrow, till then soyabeans and meal are rallying and along with them the grains are also trading higher. Nothing changed fundamentally, weather projections are the same, physical cargo tightness is there and buyers still hope to cover cargo at lower prices of fortnight back. Cbot dec contract is trading at 391 cents/bushel as of this report writing and with funds record position in Grains/Oilseeds complex it will be interesting to see how market moves from hereon.
Sensex and Nifty
Sensex and Nifty closed over 40k @ 40182/11834 respectively, Rupee is trading sideways and closed at 73.24 versus the previous close of 73.33.
For the next 5-7 we have a change in weather by our weathermen, he says we will have rains in Vidarbha/Marathwada/Telangana/AP/parts of south Karnataka.