EU Wheat Close
18/10/10 -- EU wheat futures opened higher but closed mostly lower after CBOT wheat fell in afternoon trade. Nov London wheat closed GBP1.50 lower at GBP161/tonne, with Nov Paris wheat down EUR1.00 at EUR213.75/tonne.
Volume was low as end-user buying remains muted as spec longs look to unwind their length on nearby November before it expires in a few weeks.
Ukraine finally agreed on the size of it's export quotas, which are pretty minimalistic at 2 MMT of corn, 0.5 MMT of wheat and 0.2 MMT of barley, valid until the end of the year.
Western Australia's wheat crop will struggle to make even 3.5 MMT this year, according to various media reports. Last season it was 8.25 MMT. Whilst drought is the problem there, eastern Australia is having it too wet. That hasn't been a problem up until now, although some reports are just starting to suggest that these heavy rains are now causing disease and potential yield & quality issues.
With the quality of Canada's wheat crop also badly affected by too much rain, this could further tighten supplies at the top end of the market.
Russian farmers have manged to sow around 15 million hectares of winter grains, 19% down on last season's total but better than many had expected after decent rains finally arrived in drought-stricken areas recently.
Volume was low as end-user buying remains muted as spec longs look to unwind their length on nearby November before it expires in a few weeks.
Ukraine finally agreed on the size of it's export quotas, which are pretty minimalistic at 2 MMT of corn, 0.5 MMT of wheat and 0.2 MMT of barley, valid until the end of the year.
Western Australia's wheat crop will struggle to make even 3.5 MMT this year, according to various media reports. Last season it was 8.25 MMT. Whilst drought is the problem there, eastern Australia is having it too wet. That hasn't been a problem up until now, although some reports are just starting to suggest that these heavy rains are now causing disease and potential yield & quality issues.
With the quality of Canada's wheat crop also badly affected by too much rain, this could further tighten supplies at the top end of the market.
Russian farmers have manged to sow around 15 million hectares of winter grains, 19% down on last season's total but better than many had expected after decent rains finally arrived in drought-stricken areas recently.
