EU Wheat Closing Comments
11/10/10 -- After trading higher for most of the session EU wheat futures moved lower late in the day after CBOT wheat failed to hold onto overnight gains.
Nov London wheat opened GBP3/tonne higher but closed GBP0.85/tonne lower at GBP166.15/tonne. Nov Paris wheat came in EUR3.50/tonne higher at the open but closed EUR0.50/tonne lower at EUR223.25/tonne at the end of the day.
Chicago wheat was firmer in the overnight session, but clearly remains the weakest leg, soon capitulating once the daytime CBOT session opened to trade around 10c lower by the time EU markets closed.
Despite being dragged higher by corn, in the cold light of day the USDA ultimately pegged US wheat stocks to usage at the second highest levels in the last ten years on Friday. World stocks to usage are also above the ten year average.
The pound and dollar continue to vie for the "who's the weakest currency" tee-shirt. Sterling might pick up the yellow jersey next week when Chancellor George Osborne puts some flesh on the bones of exactly how austere the new austerity measures are going to be.
UK and EU wheat exports continue to run ahead of schedule, likely leading to availability tightness in the spring.
Nov London wheat opened GBP3/tonne higher but closed GBP0.85/tonne lower at GBP166.15/tonne. Nov Paris wheat came in EUR3.50/tonne higher at the open but closed EUR0.50/tonne lower at EUR223.25/tonne at the end of the day.
Chicago wheat was firmer in the overnight session, but clearly remains the weakest leg, soon capitulating once the daytime CBOT session opened to trade around 10c lower by the time EU markets closed.
Despite being dragged higher by corn, in the cold light of day the USDA ultimately pegged US wheat stocks to usage at the second highest levels in the last ten years on Friday. World stocks to usage are also above the ten year average.
The pound and dollar continue to vie for the "who's the weakest currency" tee-shirt. Sterling might pick up the yellow jersey next week when Chancellor George Osborne puts some flesh on the bones of exactly how austere the new austerity measures are going to be.
UK and EU wheat exports continue to run ahead of schedule, likely leading to availability tightness in the spring.