Tidbits, Brazilian Crops & Fertilizer, Argentine Shipping, Wheat Basis 6/7/26
- Wright team
- Jun 7
- 5 min read
Tidbits
Brazilian AgrInvest Commodities reported on 6 June:
The recent highlight is the change in the exchange rate, which has gained momentum and become the main variable of attention. The appreciation of the dollar improves export parity and may limit further declines in the domestic market, especially if combined with possible reactions in Chicago, firmer oil prices, or weather risks in the US. Thus, although the current scenario is still one of adjustment, the market is once again monitoring external factors that can rapidly alter the pace and direction of prices.
Corn is recovering on the Brazilian stock exchange, mainly supported by the strengthening dollar, accumulating gains in recent days. In the physical market, the progress of the harvest and a clearer definition of yields reinforce the perception of crop losses in some important regions, such as Goiás, Minas Gerais, and Paraná. Therefore, the market is beginning to assess a possible adjustment in supply, indicating that the price floor may be near in the short term.
The fertilizer market continues to experience pressure on nitrogen fertilizers, especially urea, which has accumulated seven consecutive weeks of decline and has already fallen by more than US$ 200/t since the peaks of April. The focus remains on the Indian tender, while increased export expectations from China add uncertainty, although minimum prices stipulated by the government limit competitiveness. In Brazil, prices continue to fall and vary greatly between ports, reflecting a stagnant market, with importers and blenders avoiding long positions in anticipation of even lower prices. Ammonium sulfate also lost momentum, with deals below US$ 260/t CFR, following the weaker trend in the segment.
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