Global commodity prices have reversed course and are now falling.

Commodity market today, March 25th: Global raw material prices fluctuate sharply. Commodity market today, March 26th: Commodity market receives positive buying pressure.

At the close of trading, the MXV-Index for 3 out of 4 commodity groups was in the red, causing the overall MXV-Index to fall 0.58% to 2,223 points. The total trading value on the exchange was over 5,200 billion VND.

Wheat prices plummeted by more than 2%.

At the close of trading on March 26, prices of all seven agricultural commodities faced selling pressure. Wheat led the decline, plummeting by more than 2%. According to MXV, besides profit-taking pressure from the market, prices continued to face strong competitive pressure from abundant supply in the Black Sea region. Specifically, SovEcon reported that Russia exported 1.14 million tons of wheat last week, up from 0.93 million tons the previous week. SovEcon also forecasts that wheat exports in March could reach a record 5 million tons, compared to 4.8 million tons in the same period of 2023.

Thị trường hàng hóa hôm nay ngày 27/3: Giá hàng hóa nguyên liệu thế giới đảo chiều đi xuống

Wheat prices plummeted by more than 2%.

Corn prices extended their decline for the third consecutive session. After an initial period of consolidation, selling pressure intensified in the evening as the market reacted to positive signals regarding Brazil's production outlook. At the close, the May contract recorded a sharp 1.2% drop.

Agricultural product price list

According to CONAB, Brazil's first corn crop harvest for the 2023/2024 season has reached 42.8% of the planned area, higher than the 41.9% at the same time last year. For the second crop, planting is also nearing completion, with 96.8% of the area already planted, compared to 91.1% at the same time last year. Overall, fieldwork in this South American country is proceeding relatively smoothly, minimizing the risk of planting the second corn crop outside the ideal timeframe.

In addition, the Brazilian National Meteorological Institute (Inmet) reported that the country received good rainfall across the nation on March 26th. According to Inmet, the rain will continue in the central-western region of Brazil throughout this week. Expectations of more favorable weather will help restore and support crop growth in the region, strengthening the country's supply outlook for this year. This was the main factor contributing to the bearish sentiment in corn prices last night.

In the US, the majority of the market is predicting that the 2024/2025 corn planting area, as announced in the upcoming Prospective Planting 2024 report, will be 91.78 million acres. This figure is higher than the 91 million acres mentioned in the previous Ag Outlook conference, reflecting market expectations of a larger-than-expected US crop size this year. This information also contributed to further pressure in the last trading session.

On the domestic market, as of the morning of March 26th, the price of imported South American corn arriving at Vietnamese ports showed a slight increase. At Cai Lan port, the price of South American corn for April delivery was 6,500 - 6,550 VND/kg. For the May delivery contract, the asking price ranged from 6,350 - 6,500 VND/kg. Meanwhile, the asking price for imported corn at Vung Tau port was 100 VND/kg lower than the price at Cai Lan port.

The metals market is in the red.

At the close of yesterday's trading, the metal price chart was almost entirely in the red. For precious metals, silver reversed course and fell 1.08%, settling at $24.62 per ounce. Conversely, platinum rose for the second consecutive session, closing at $909.3 per ounce thanks to a modest increase of 0.06%.

Precious metal prices came under pressure as investors remained cautious ahead of the release of a key US inflation report, especially given the conflicting clues regarding the Federal Reserve's interest rate outlook. Chicago Fed President Austan Goolsbee indicated he anticipates three interest rate cuts this year. Conversely, Fed Governor Lisa Cook warned that the Fed needs to proceed cautiously when deciding when to begin cutting interest rates.

Metal price list

However, platinum prices continued to rise due to concerns about supply disruptions in South Africa, the world's largest platinum producer. According to Bloomberg, South Africa's state-owned electricity company, Eskom, plans to implement phase 2 of its load shedding program, removing 2,000 megawatts from the grid. The power cuts are still underway, and there has been no further announcement from Eskom.

Regarding base metals, iron ore prices recorded the sharpest decline in the group, losing 3.95% to $103.32 per ton, the lowest in a week. In the morning session, prices received positive buying pressure after Fitch Ratings raised its iron ore price forecast to $105 per ton this year, $90 per ton in 2025, and $85 per ton in 2026, up from $95 per ton, $80 per ton, and $75 per ton respectively.

However, prices quickly reversed course and fell again as investors remained skeptical about demand in China. Data from consulting firm Mysteel showed that the volume of iron ore shipped by sea to China had decreased by 73.4% from last Friday to 380,000 tonnes on Monday.

In other developments, the COMEX copper price experienced a rather volatile trading session, closing with a slight decrease of 0.19% to $4 per pound. On the one hand, sluggish consumption continued to put pressure on prices. On the other hand, buying pressure on copper was triggered by expectations that China would increase economic stimulus to achieve its ambitious growth target of around 5%.

Specifically, according to the average estimate in the Bloomberg survey, the People's Bank of China (PBOC) is expected to implement two more cuts to the reserve requirement ratio (RRR) this year, one more than the previous survey. In addition, the PBOC may cut medium-term lending rates and the benchmark lending rate starting in the second quarter.

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