EU Wheat Ends Flat To Slightly Higher

EU wheat futures closed flat to slightly higher Wednesday, with November Paris milling wheat up EUR2 at EUR129.75/tonne, and London November feed wheat ending unchanged at GBP102/tonne.

Sterling rose to it's best levels in more than a month against the dollar, and it's highest since September 24 against the euro, after the BoE minutes revealed that this months vote to hold QE at current levels was unanimous.

With UK wheat largely following the fortunes of the pound over recent weeks, this got London futures off to a negative tone early in the day.

Support came later in the afternoon however when America came in sharply higher following crude oil jumping above USD80/barrel, and severe delays in planting US winter wheat.

Considering that the pound rose close to 1.66 against the dollar and almost 1.11 against the euro, this was quite an impressive performance by UK wheat today.

The Ensus refinery will be open and in production "by Christmas" according to a report on Reuters. The plant will be running at full-tilt by Q1 2010, the report went on to say.