EU Wheat Ends Higher

EU wheat futures closed a little higher Tuesday with Paris November milling wheat closing up EUR0.25 at EUR127.75/tonne, and London November feed wheat ending up GBP0.75 at GBP102/tonne.

Dryness in many parts of Europe has not got newly-planted winter wheat off to the best of starts. Meanwhile, excessive wetness is the problem in the US, with the corn and soybean harvest severely delayed threatening to cut winter wheat acres.

In Illinois, the second top US corn and soybean state, only 13% of the state soybeans have been gathered and 11% of corn. For both crops this represents delays of more than one month. Corn here would be 68% complete normally and the soybean harvest 795 done.

For once there wasn't too much change on the currency front, so that had little influence today.

Demand is finally picking up, according to some reports, and a little bit of interest is now also filtering through from spec money dissatisfied by the prospective dismal returns offered by historically low global interest rates.

Reports emanating from India suggest that local millers there might be back in the wheat import market before new crop supplies arrive on the market in the spring.