UK / US markets were closed on Monday 28th May (Memorial day in US and Bank Holiday in UK).
Brazil – truck drivers strike over fuel prices has been causing logistical problems for the soybean crushing plants and export terminals as the supply of beans slowed to a trickle. Concessions have been made by the Brazil government in a bid to end the dispute which has already gone on for a week.
Global markets have firmed – US wheat hitting 10 months highs this morning as overnight markets got going following the holiday. Weather is the principal concern with dry conditions in Aus / Russia and hot temperatures forecast for the US grain belt. Funds maintain a bullish stance.
US soybeans have drawn support in recent days amid a thawing of relations between the United State and China, US market expectation is therefore of increased demand from China. China has given the green light to state-owned companies to begin buying U.S. soybeans again, although would-be buyers have tight crush margins to contend with.