EU Wheat Edges Higher Late
EU wheat futures edged higher late in the session Thursday supported by an upturn in US futures.
Front-month January Paris wheat was 0.75 euros higher at 140.50 euros and London wheat for January closed GBP0.75 higher at GBP91.75/tonne.
"Still, the market remains very weak and is on the verge of sinking further. It's just a question of when," one trader said.
EU wheat may be benefiting from a strong dollar, making US wheat uncompetitive on the export arena, but Black Sea wheat, particularly Russian still has the competitive edge.
Much has been made recently of falling freight rates. However, one trader noted that the sharp fall in ocean shipping freight costs in past weeks has also increased the sales range of rival United States, Argentine and Australian wheat.
Spanish wheat prices were stable in thin physical dealing with many consumers covered until year-end and few willing to take positions in the new year amid market uncertainty.
Front-month January Paris wheat was 0.75 euros higher at 140.50 euros and London wheat for January closed GBP0.75 higher at GBP91.75/tonne.
"Still, the market remains very weak and is on the verge of sinking further. It's just a question of when," one trader said.
EU wheat may be benefiting from a strong dollar, making US wheat uncompetitive on the export arena, but Black Sea wheat, particularly Russian still has the competitive edge.
Much has been made recently of falling freight rates. However, one trader noted that the sharp fall in ocean shipping freight costs in past weeks has also increased the sales range of rival United States, Argentine and Australian wheat.
Spanish wheat prices were stable in thin physical dealing with many consumers covered until year-end and few willing to take positions in the new year amid market uncertainty.
