EU Wheat Close

Posted by Nogger - a legend in his own mind at 19:07 | Categorized as

02/02/11 -- EU wheat closed sharply higher with Mar London wheat up GBP2.85 to GBP205.50/tonne and new crop Nov GBP2.25 higher at GBP174.25/tonne. Mar Paris wheat rose EUR4.00 to EUR273.00/tonne, with Nov up EUR3.50 to EUR235.00/tonne.

It was a record high close for old crop wheat for both London and Paris on continued uncertainty on the international grain markets.

Demonstrators are still on the streets of Egypt, an enormous cyclone is heading for Australia, a severe winter storm is gripping the US Midwest and northern China is bone dry.

Wheat prices may have been even higher were it not for a firm euro and sterling.

Elsewhere, Russian wheat is dormant under thick snow in the Volga, Black Earth region. Winter precipitation has been generous, boosting prospects for new crop wheat. The southern Black Sea area has been too dry this winter, although showers possible in coming week, according to Martell Crop Projections.

Striking Argentine dock workers may resume work under a under compulsory conciliation order, according to media reports.

Tomorrow all eyes will be on export licence numbers from Brussels for the past week and weekly export sales from the USDA.