14 December 2022 | Other

Limited food stocks will support price spikes

Adverse weather conditions, higher energy prices, and a shifting geopolitical environment may have a negative impact on global agricultural production in 2023. So, lower supplies are expected, even though farmers are expanding planted areas. 

Recent flooding in Australia, the world's second-largest wheat exporter, caused significant crop losses. Meanwhile, a severe drought in Argentina could reduce the country's cereal production by 40%. 

The outlook for corn and soybeans in early 2023 seems to be more optimistic. Prior to that, drought in some regions of Brazil raised concerns, since Brazil is known as the leading exporter of beans. 

Domestic inventories of major crops, including corn, soybeans, and wheat, continue to be tight, the U.S. Department of Agriculture said. The agency reported that domestic corn stocks are likely to hit a decade low ahead of the 2023 harvest. U.S. soybean stocks are also at a seven-year low. Wheat stocks, meanwhile, are expected to be at their lowest level in 15 years. 

Company MarketCheese
Period: 30.04.2025 Expectation: 12000 pips
ETHUSD set to test upper boundary of downtrend channel
Today at 11:30 AM 24
Period: 25.04.2025 Expectation: 500 pips
AUDUSD to fall to 0.63000
Today at 09:54 AM 14
Period: 28.04.2025 Expectation: 3100 pips
Buyers may retake initiative in USDJPY with target of 146.00
Today at 08:41 AM 14
Period: 02.05.2025 Expectation: 229 pips
Selling natural gas with target of 2.900 amid warm weather in US and Europe
Today at 07:01 AM 13
Period: 02.05.2025 Expectation: 1000 pips
Technical rebound of NVIDIA stock to result in pullback to 95
Yesterday at 11:27 AM 43
Gold sell
Period: 25.04.2025 Expectation: 7000 pips
Gold to correct to level of 3,250
Yesterday at 10:02 AM 98
Go to forecasts