EU Grains Close

Posted by Nogger - a legend in his own mind at 19:25 | Categorized as

21/04/11 -- EU grains closed mostly lower with May London wheat down GBP7.50/tonne to GBP210.00/tonne and with new crop Nov down GBP0.85/tonne to GBP177.40/tonne. May Paris wheat fell EUR1.50/tonne to EUR252.25/tonne and Nov was unchanged at EUR224.75/tonne.

May London wheat closed around the middle of a wide daily trading range of GBP207.00-213.50, with the May/Nov spread narrowing to GBP32.60/tonne.

Over the course of a 4-day week May London wheat rose GBP3.00/tonne and Nov climbed GBP12.90/tonne with the May premium over Nov declining by almost GBP10.00/tonne. May Paris wheat rose EUR14.00/tonne and Nov was EUR16.75/tonne higher.

Lack of rain remains the problem, and although in the UK crops are currently showing little obvious sign of stress without some decent precipitation they won't be taking in recently applied nitrogen.

The pound and euro both rose to 16-month highs against a weak US dollar, reducing their competitive edge against American wheat.

Brussels confirmed that it had issued soft wheat export licences for 281,000 MT this past week, that's an increase of 42% on last week, but still the second lowest weekly total out of the past six.

Year to date exports are now running at 16.2 MMT, up 12.5% on a year ago.