EU Wheat Opens Higher Ahead Of USDA Numbers

EU wheat futures have opened higher on follow through from last night's strong US wheat futures close, and amidst ideas that the USDA will cut world production and both US and global ending stocks sharply this afternoon.

Customs data from Brussels shows that the EU issued export licences for 943,000 MT of soft wheat last week, the highest weekly total yet this season. That brings the total amount of licences issued to 4.3 MMT already, some 23% up on the 3.5 MMT issued at the same time last season. French licences dominated this week's allocations, accounting for 714,000 MT of the 943,000 MT issued.

US corn production and ending stocks will also be cut by the USDA this afternoon, that is the almost universal belief, and some pundits think very significantly so.

How much of that has already been priced in is open to question, or will it be a case of buy the rumour, sell the fact?