EU Wheat Closing Comments
May London wheat closes GBP0.55 higher at GBP103.70/tonne, with May Paris wheat up EUR0.75 at EUR132.25/tonne.
The USDA confirmed the sale of US corn to Chins, rumours suggest that more than yesterday's 115,000 NT mat have been sold in that direction.
That's potentially pretty bullish, the Chinese haven't been volume buyers of US corn for several years. Anything that takes corn off the market also potentially has to be pretty bullish for wheat.
A weak pound and very weak euro also helped support EU prices today.
It seems that there have been some over confident shorts out there, who have basically got squeezed out.
Large EU crops are not too far away now however, so it difficult to imagine things running ahead too far to the upside either.
The USDA confirmed the sale of US corn to Chins, rumours suggest that more than yesterday's 115,000 NT mat have been sold in that direction.
That's potentially pretty bullish, the Chinese haven't been volume buyers of US corn for several years. Anything that takes corn off the market also potentially has to be pretty bullish for wheat.
A weak pound and very weak euro also helped support EU prices today.
It seems that there have been some over confident shorts out there, who have basically got squeezed out.
Large EU crops are not too far away now however, so it difficult to imagine things running ahead too far to the upside either.
