# Rice market up, subject to volatility

> Rice prices are at their highest in years, with old-crop long-grain futures reaching a 12-year high in April and the May contract trading near $18.70/cwt. Long-grain 2019/20 ending stocks are tight at 14.7 million cwt, the lowest since 2003, and export sales are running 14% ahead of last year. Southeast Asian export restrictions tightened supply in March and April but are now being relaxed.

- Date: 2020-05-14 · published 2020-05-14T12:00:00.000Z
- Category: market · region US · magnitude low
- Page: https://feedsoft.ai/events/7501-rice-market-up-subject-to-volatility
- Commodities: [Rough Rice](https://feedsoft.ai/c/RICE.md)

## Why it matters

Tight old-crop long-grain stocks and strong export demand support rough rice prices, while easing Asian export curbs may limit further upside. Feed buyers should expect firm but volatile rice-related feed input costs.

## Read by commodity

- RICE: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| RICE | 2020-05-14 | 1 | -8.1% | -4.2 | Futures were at multi-year highs with tight old-crop stocks, and Southeast Asian export restrictions were being relaxed, which removes a supply-tightness premium and leaves prices exposed to a sharp correction. |
| RICE | 2020-05-18 | 5 | -7.7% | -3.2 | Futures had hit a 12-year high in April on tight old-crop stocks and Southeast Asian export restrictions that are now being relaxed, so easing supply fears plausibly triggered a pullback from elevated levels. |
| RICE | 2020-05-15 | 1 | -8.1% | -4.2 | Futures were at multi-year highs near $18.70/cwt with Southeast Asian export restrictions being relaxed, so easing supply concerns left the market vulnerable to a sharp correction and volatility. |

## Sources

- farmprogress.com: https://www.farmprogress.com/rice/rice-market-up-subject-to-volatility

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.