EU Wheat Closing Comments

It was another yo-yo day for EU wheat, with Nov London wheat finally ending down GBP1.30 at GBP125.45/tonne, Nov Paris wheat closing unch at EUR1678/tonne.

A very interesting day, with futures opening sharply lower, then briefly rallying into slightly positive territory, before ultimately closing flat to slightly lower.

Spec funds are the buyers, end users don't want to touch these prices with a very long barge pole.

Farmers are busy harvesting, and hoping that this is just the start of a 2007/08-style boom. Prices always rally just as the harvest gets underway, we all know that!

Heavy rain across northern parts of England will do little to aid harvest progress. Those in the south that have managed to do some cutting will no doubt be feeling pretty smug.

Egypt bought Russian wheat again in it's regular tender. Let them keep mopping up the few remaining parcels of cheap wheat in the region I say.