Commodity markets experience volatile trading week

Commodity market today, July 11, 2024: World agricultural product market under strong selling pressure Commodity market today, July 12, 2024: Green returns to world raw material commodity market

At the end of the trading week of July 8-14, prices of 3/4 commodity groups (except industrial materials) decreased, causing the MXV-Index to fall 1.93% to 2,260 points.

Thị trường hàng hóa hôm nay ngày 15/7/2024: Thị trường hàng hóa nguyên liệu trải qua tuần giao dịch biến động

The agricultural market is facing great buying pressure, the price index of this group of goods suddenly plummeted by 5.2% last week. Among the only groups of goods that increased in price, Robusta coffee and Arabica coffee also had many notable developments. In particular, on July 9, the price of Robusta coffee climbed to a record high in history when it increased by nearly 600 USD compared to the beginning of July 2024.

Agricultural prices fall sharply

At the end of the trading session last week (July 14), the prices of 6/7 agricultural products (except raw rice) simultaneously dropped deeply by 5-6%. Of which, corn was the product with the lowest decline. After a sharp decline in the first session of the week, the corn market fluctuated and recovered, especially after the surprising figures in the World Agricultural Supply and Demand Report (WASDE) for July of the US Department of Agriculture (USDA).

Agricultural Product Price List

In this report, USDA raised its forecast for US corn production in 2024-2025 to 15.1 billion bushels, a slight difference from market expectations. However, surprisingly, inventories in 2024-2025 were revised down to 2.09 billion bushels, contrary to analysts' expectations of an increase and below the forecast range. The reason for this adjustment is that exports and consumption in 2023-2024 were raised compared to the previous report, causing inventories at the beginning of 2024-2025 to fall sharply. This factor caused corn prices to spike at the end of the week and narrow the previous decline.

On the other hand, the weather in the US has been improving over the past week. The remnants of Hurricane Beryl brought rain to the Eastern Corn Belt, especially the dry states of Illinois and Indiana. In its Crop Progress report, the USDA said that the percentage of corn that was rated good or excellent rose to 68% last week, up from 67% the previous week and well above the 50% it was at the same time last year. This suggests that the US crop outlook remains relatively positive, putting pressure on prices.

In the domestic market, it was noted that at the end of last week, the price of imported South American corn at our ports tended to decrease slightly compared to the beginning of the week. At Cai Lan port, South American corn futures for delivery in the last three months of this year were at VND6,400/kg. The offered price of imported corn at Vung Tau port was VND100/kg lower than the transaction price at Cai Lan port.

Prices of some other goods