EU Wheat Ends Lower Again

EU wheat futures closed sharply lower again Friday, with Paris November milling wheat ending down EUR3.75 at EUR147.75/tonne, and London November feed wheat closing down GBP2.85 at GBP118.75/tonne.

London wheat lost GBP11.50/tonne, or 8.8% this week and Paris wheat EUR10, or 6.3% as the pound rose significantly against the dollar and US wheat futures fell.

The pound closed the week at $1.6446, having peaked at $1.6620 on Thursday, for a net gain of almost 2.9% on last week's close of $1.5986.

Meanwhile the euro only posted modest gains against the dollar over the course of the week, up from $1.3965 to $1.4018.

Meanwhile US wheat futures fell after the USDA projected 2009/10 US ending stocks at 647 million bushels, considerably higher than the 606 million the trade had been anticipating.

That news comes despite the International Grains Council forecasting that world grain demand in 2009/10 will outstrip production by some 15 MMT.