EU Wheat Close

04/11/10 -- Nov10 London wheat finished GBP1.30 higher at GBP168.80/tonne, with Nov10 Paris wheat up EUR2 to EUR220.50/tonne.

A sharply higher CBOT market spilled over into EU wheat despite an acutely weak US dollar.

Brussels released 196,000 MT of soft wheat export licences during the past week. Although that seems to indicate a slowdown, marketing year to date exports are still well ahead of 2009/10 at 8.3 MMT. So there's something for both the bulls and the bears to cling onto there.

Algeria bought 200,000 MT of optional origin wheat in a tender today. Whilst that was probably French wheat, Egypt's tender earlier in the week indicates that EU origin grain hasn't got things entirely it's own way.

The US dollar fell to multi-month lows against both the euro and sterling after the Fed announced a USD600 billion money printing exercise.

The Russian Ministry say that they've harvested 43.2 MMT of wheat this year, along with 8.8 MMT of barley this year (both in bunker weight).