EU Wheat Closing Commentary

EU wheat futures closed a little higher Tuesday, supported by a steadiness in outside markets like crude oil and equities.

May Paris milling wheat traded up EUR2.75 at EUR141/tonne, whilst May London feed wheat traded up GBP0.25 at GBP107.75/tonne.

A deterioration in US winter wheat crop conditions helped to support EU wheat along with a firm US dollar.

Farmers are reluctant sellers at current levels, and with legitimate concerns over the size of 2009 crops in Western Europe, who can blame them?

Drier than normal conditions have been prevalent throughout not just the UK, but also France & Germany over the past three months, threatening yield potential.