Export premiums for hard red winter wheat at the US Gulf Coast were firm on Thursday, supported by good global demand for higher-protein grain, while soft red winter wheat premiums were flat, traders said. Sinking dollar partly offsetting this week's more than 7 percent jump in US wheat futures prices because it increases the buying power of those holding other currencies.
Dollar on Thursday fell to the lowest point in nearly three years against a basket of currencies. US wheat appears poised to capture a share in two large upcoming tenders by Saudi Arabia and Iraq. Saudi tender for 330,000 tonnes in three shipping periods closes on Friday. US wheat likely to trade in the first shipment period, but will see more competition in later periods, traders said. Iraqi tender for at least 100,000 tonnes closes on Saturday, with US and Australian wheat seen as the front-runners, traders said.
US corn export premiums at the Gulf were mostly steady on Thursday amid quiet demand except for routine business to regular US corn customers, traders said. Cheaper corn from Brazil and Argentina undercutting demand for US corn. FOB basis offers for US Gulf corn underpinned by firm CIF values, which Soyabean export premiums at the US Gulf were flat on Thursday amid seasonally slow demand as global buyers turn to cheaper South American supplies, traders said.
Rumours that China could revalue its currency upward against the dollar lent support to soyabean futures on Thursday, traders said. Such an action would bolster the buying power of importers in the world's biggest soya importing nation. China's yuan currency hit a record high on Thursday. But comments by top government officials indicated that a revaluation was unlikely. US markets closed on Friday for the Good Friday holiday. Some European markets closed on Monday for Easter Monday.
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