Thursday, June 21, 2018

Market Update From Pinny

Hi everyone!

It’s been very long time since I’ve been able to write report of this kind! It’s basically all about prices that have dropped or chanced that they will drop! Now who doesn’t like that?!?!

So we’ll cut it short and get started with cashews! I don’t think anyone saw these coming this low but it’s definitely exciting. RCN prices have finally starting dropping. To top it off demand hasn’t been that great over the past few weeks and shippers that booked RCN at higher levels had to start paying their bank loans back. I don’t have to tell you that without cash you can’t really pay bills…. So shippers starting dropping their prices below cost and some of them even lost millions of dollars this year already!! (no worries, they earned much more throughout the past 3 years J).
Since this past Monday morning we have started seeing a lot of buying interest in the USA again! Buyers are liking these numbers and while some buyers (greedier ones) like to wait for the kill, smarter buyers are slowly but surely nibbling into this market. We’ve even committed to some second qtr 2019 contracts this week.
It is literally impossible to know if we’ve reached the real bottom, but you never know when we’ll see that quick turnaround, so it’s always better to play it safe. I recommend on booking partially (maybe 50%) as far out as you are ready to go.

Walnut growers are trying to dump whatever they have left of current crop but it seems that the price decrease is not doing its job well enough. Prices are way below they were 6 months ago and yet buyers do not seem excited to grab them.

Pecans have not softened significantly but they sure are more affordable compared to the past 9 months. If you need some for the upcoming holiday seasons still it may be a good idea to shop for them during this quiet and soft period.

Let’s not forget almonds! We finally had a shipment report that was lower than last years! The “freeze” back in February also didn’t materialize and the crop size this year should be decent. Prices didn’t tumble but we are seeing a softer market with some growers ready sell new crop approx 20 cents below today’s market. At this point I will hold back from making any predictions- it’s a pure gamble with these great almond marketing geniuses out there!

Brazil nuts are also selling very well again. We are seeing a lot of business getting done at the $5.00 level for June-July and in the low $4’s for August thru February. Demand is strong.

I can’t afford finishing up this short report with exciting news only so let’s throw some dried cranberries into this mix… unfortunately availability is becoming tighter by the day. Processors are scrambling to fulfill their orders and are all delaying shipment significantly. I am seeing prices inching closer to the 2 dollar level and maybe even higher. We are even seeing the possibility of these prices remaining high well into 2019. Time will tell…

Please let us know if you have any demand and we’ll try accommodating to our best ability. If don’t really need anything right now and just want to call in to say hi or discuss the markets that’s fine too!

Talk soon!