EU Wheat Close
31/08/11 -- Despite trading lower for almost the entire session EU grains somehow managed to finish mostly higher with Nov London wheat up GBP0.75/tonne to GBP174.75/tonne and Nov Paris wheat EUR0.50/tonne firmer at EUR211.25/tonne.
Depending on what happens overnight that particular anomaly may well correct itself in the morning.
On the month of August as a whole Nov London wheat was up GBP11.00/tonne and Nov Paris wheat gained EUR13.50/tonne.
Offre & Demande Agricole said that UK wheat yields are likely to be down 3.4% compared with last year, with winter barley yields falling 13.5% and rapeseed yields rising 10.5%.
La Salle group peg the EU-27 wheat crop at 137.8 MMT, 4.3 MMT more than the USDA reckon and up 2% on last season with the UK crop coming in at 15.1 MMT.
The Russian Minister of Agriculture now says that grain production there this season will exceed the upper end of trade estimates of 90 MMT.
For once the USDA seem to be significantly underestimating wheat output around the globe this season.