EU Grains Close

Posted by Nogger - a legend in his own mind at 07:48 | Categorized as

14/07/11 -- EU grains finished with Nov London wheat GBP1.00/tonne lower at GBP166.15/tonne and Nov Paris wheat EUR3.25/tonne easier at EUR197.75/tonne in a modest correction from yeaterday's gains.

Black Sea wheat keeps winning all the major tenders around at the moment, so any sharp price rises in the EU will only serve to alienate EU wheat on the export front even further.

We may have a reminder of just how much cheaper wheat from Russia has become since the opening if their export window when Egypt tender for wheat again tomorrow.

Trade gossip suggests that last season's wheat crop estimate in Russia was significantly understated, which would explain how they finished up with good carryover stocks despite suffering the worst drought im 100 years.

SovEcon peg this year's grain crop in Russia at a median of 89.5 MMT, 47% up on last year.