Rumors in the beef market lead to devaluation on B3, see the news this Thursday

  • Boi: market has few businesses in the days of rumors

  • Corn: Cepea indicator reaches twelve consecutive days of low

  • Soybeans: prices fall in Brazil and Chicago

  • Coffee: Arabica remains stable in Brazil, despite a slight drop in New York

  • Abroad: US private sector labor market data disappoints

  • In Brazil: GDP is below expectations in the second quarter

Schedule:

  • Brazil: data from crops in Rio Grande do Sul (Emater)

  • Brazil: July industrial production (IBGE)

  • US: weekly grain exports (USDA)

Boi: market has few businesses in the days of rumors

According to Safras & Mercado consultancy, with the day marked by rumors, there were no relevant deals during the day. According to analyst Fernando Iglesias, the first unconfirmed news was an alleged case of Bovine Spongiform Encephalopathy (known as the “mad cow” disease). The second is a potential strike by professionals who oversee meatpacking plants.

At B3, the rumors mentioned above generated quite significant drops in the entire curve of futures contracts for cattle and some quotations lost the level of R$300 per arroba. The maturity adjustment for September went from BRL 310 to BRL 296.40, in October it went from BRL 310.55 to BRL 296.95 and in November it went from BRL 318.25 to BRL 306.70 per at sign.

Corn: Cepea indicator reaches twelve consecutive days of low

The Cepea corn indicator, calculated based on prices practiced in Campinas (SP), reached twelve consecutive low days. The price varied -1.1% compared to the previous day and went from R$94.76 to R$93.72 per bag. Therefore, in the year, the indicator had a high of 19.16%. In 12 months, prices reached 53.84% appreciation.

At B3, the corn futures contract curve follows the same pattern as the physical market and the shorter maturities are already around R$90 per bag. The maturity adjustment for September went from BRL 91.62 to BRL 90.31, in November it went from BRL 91.54 to BRL 90.38 and in March 2022 it went from BRL 93.77 to BRL 93.08 per bag.

Soybeans: exchange rate presses again

The Cepea soybean indicator, calculated based on prices practiced at the port of Paranaguá (PR), had a day of lower prices. The price varied -0.66% compared to the previous day and went from R$ 166.95 to R$ 165.84 per bag. Thus, in the accumulated result for the year, the indicator increased by 7.76%. In 12 months, prices reached 20.86% appreciation.

On the Chicago Stock Exchange, the prices of soybean futures contracts fell again and reached the fifth consecutive day with falls. The market continues to be pressured by the improvement in the climate and looking for signs of demand, especially from China. November maturities fell 1.15% yoy and dropped from $12.924 to $12.776 a bushel.

Coffee: Arabica remains stable in Brazil, despite a slight drop in New York

According to Safras & Mercado, coffee prices on the Brazilian market were stable, even with a slight drop in New York. In the south of Minas Gerais, the good drink Arabica with 15% pickup was stable at R$1,090/1,095, while in the cerrado mineiro, the hard drink with 15% pickup remained unchanged at R$1,100/1,105 per bag.

On the New York Stock Exchange, Arabica coffee prices continued to fail to break the US$ 2.0 per pound and had a day of slight devaluation. The maturity for December, the most traded currently, retreated 0.13% in the daily comparison and went from US$ 1.959 to US$ 1.9565 per pound.

Abroad: US private sector labor market data disappoints

The US private sector created 374,000 jobs in August, according to the ADP report. The data disappointed the market, as analysts projected a creation of 613,000 new jobs. Thus, investors are waiting for the Payroll, which brings the creation of jobs in the US economy for tomorrow, Friday, 3.

Despite the labor market below expectations, the US stock exchanges had a mixed behavior, with two of the three main indexes increasing in the daily comparison. The Nasdaq, a technology company stock index, rose 0.33%, and the S&P 500, 0.03%. Meanwhile, the Dow Jones retreated slightly by 0.14%.

In Brazil: GDP is below expectations in the second quarter

According to the Brazilian Institute of Geography and Statistics (IBGE), GDP had a negative variation of 0.1% in the second quarter compared to the first and was below expectations. Market analysts projected an increase of 0.2%. In the annual comparison, there was a growth of 12.4%. In relation to sectors, agriculture and livestock fell 2.8%, industry, 0.2% and services had an increase of 0.7%.

After two days of decline, the Ibovespa experienced a slight recovery, even with the GDP data for the second quarter worse than expected. The main stock index on the Brazilian stock exchange rose 0.52% and was quoted at 119,395 points. Meanwhile, the commercial dollar rose 0.20% and went from R$5.172 to R$5.182.