WHEAT Rising Russian wheat crop estimates weigh on markets 2019 harvest wheat crop prospects for one of the world's most influential producers are improving according to the latest publications seen from analysts this week. Favourable autumn conditions and a kind winter coupled with uninterrupted spring drilling have seen the wheat area increase by...

WHEAT USDA publish a bearish report The USDA published their April World Supply and Demand report on Tuesday afternoon and, as expected, it held bearish data – particularly for corn. World corn production jumped six million tonnes, with increases seen for most of the major producers. Argentina, Brazil and Mexico were up, reflecting the favourable g...

WHEAT UK markets look to new crop A week is a long time in politics and it seems even longer in the grain trade with old crop markets fading again this week. Remaining markets are focused on sourcing final July cover; the last stop for consumers before significantly cheaper new crop supplies are available. Attention is now turning to new crop for c...

WHEAT UK wheat prices flatten Domestically, futures and delivered markets remain thin with a large portion of the old-crop market still to play out. Northern feed wheat premiums remain elevated to encourage the trade-flow of grains from further south but, in the main, consumers remain subdued with a 'hand-to-mouth' approach to buying. This said, lo...

WHEAT Spring is the season of risk Market support has held in wheat markets since the lows of the previous week. Speculators have large bearish positions laid on in grains for crops that are still very exposed to adverse planting and growing conditions as dormancy breaks. The strength of rebound in wheat futures has been largely led by corn as mark...

WHEAT Turbulent wheat markets The world's wheat markets started the week extending their recent downward trend. Speculative fund selling took the US CBOT wheat futures to contract lows on Monday, pulling European and UK wheat futures lower too. Their motivation comes from slow US wheat export pace and expectations for a bounce back in production fo...

WHEAT UK old crop sinks lower The absence of any significant consumer demand facilitated a further £5/t drop in futures and delivered prices this week. To some extent, this season the UK wheat grower has been sheltered slightly from rock-bottom global prices because of currency but UK markets followed the rest of the world lower this week. Due to t...

WHEAT Negative world markets World markets are currently showing little signs of recovery whilst major exporters compete to win upcoming tenders. Coupled with this, we're also seeing non commercial funds willing to sell wheat lower given the promising outlook of wheat production for 2019. UK finding some support UK markets found support this week f...

WHEATWeak wheat markets Wheat markets made notable losses earlier this week, led lower by US CBOT futures that hit contract lows. By close of business on Wednesday, CBOT losses amounted to 6% and this was partly attributed to US wheat being uncompetitive and missing out on recent export trade. Syria and Bangladesh bought 200,000 tonnes and 50,000 t...

WHEAT Global prices move lower Chicago wheat futures traded at their lowest level since the start of 2019 yesterday and Kansas Corn was no different. Both markets were forced lower by disappointing export data. US wheat sales currently sit 8% behind this time last year as they've struggled to compete with cheap Russian wheat. Matif also closed €3/t...

WHEAT Slow UK trade The domestic wheat market slowed to a crawl this week. A lack of fresh news, combined with sterling strength, saw both old and new crop prices slip lower.Despite Defra's estimate showing a surplus on the UK balance sheet, the old crop premium to new crop remains resolute. Spot feed wheat is trading at £25/t above harvest prices....

WHEAT Firm pound pushes old crop prices lower Brexit uncertainty continues to fuel huge shifts in the value of the pound. This week the pound appreciated significantly against a host of other currencies reaching 1.16 against the Euro, a level which was last seen in May 2017. Domestic demand for old crop remains strong, but if the UK has an exportab...

WHEAT Lost opportunity Domestic wheat markets have given back all of this month's gains during this week. Milling markets have also softened, with notable sellers pressurising the premiums by around £2/t versus feed as markets transit from being bid for weeks to offered. It seems that political uncertainty continues which is putting people off maki...

WHEAT International trade This week we have seen significant international trade, with North African countries making sizeable wheat purchases for delivery during February and March. Initially, Algeria confirmed they were buying 550,000 tonnes of optional origin wheat. This lifted European prices, as the French have supplied over 80% of Algerian im...

WHEAT World wheat prices move higher A number of factors have helped send world wheat prices higher this week. Increasing optimism over the improving US/China trade situation provided an initial tonic as US weekly export sales hit a season high of 754,000 tonnes.The fast pace of Russian wheat exports is also making an impact with supplies proving h...

WHEAT UK markets trade a narrow range Domestic and futures markets traded in a narrow range this week with the benchmark LIFFE finding a level around £175/t for May delivery. Physically, grain consumers continue to take cover in a marketplace with very little farm and merchant grain offered, which is lending support to prices.However, the uncertain...

WHEAT Security of supply in December Domestic wheat markets remain focused on securing short term supply through December as logistics have become a constraint for this period. This has created a short term demand, however post Christmas where consumer cover remains ample and Farmers return from the break are likely to find a well supplied and subd...

WHEAT Encouraging price rally for UK wheat After an initial bearish start to the week, UK wheat prices eventually staged an impressive four day rally. Helped on by the weaker sterling and higher continental future prices, London futures gained £4 per tonne in a market was minimal trading activity. Consumers have good cover and there is little to ju...

WHEAT Global markets less volatile Wheat markets traded within a narrow range this week, with global prices closing either side of unchanged. As harvest progresses in the Southern Hemisphere, poor weather continues to cause uncertainty around crop quality. The forecast is poor for Argentina over the next seven days with 84% of the crop still to har...

WHEAT 'Bears' 1 vs. 'Bulls' nil this week World markets have had to digest another USDA WASDE data release that was not bullish for wheat markets. Reductions in southern hemisphere crops were smaller than anticipated and the feed grain complex was boosted massively by China's unexpected stock find of 148 million tonnes. The grains complex feels hea...