The decline in wheat demand on the world market and weak US wheat exports closed the wheat futures in Chicago yesterday with significant discounts. The tighter exchange rate of the US dollar and concerns about a global recession also caused downward pressure. Weekly US export sales totaled 258,800 tons of US wheat, 86% below the 4-week average and disappointing. Analysts had expected exports to range from 250,000 to 950,000 tons of wheat. Institutional investors sold 6,500 lots of CBoT SRW wheat yesterday. This morning the eCBoT trades with course premiums. At Euronext in Paris, the wheat futures followed the weak overseas guidelines and relented on all dates. Investors remain concerned about the economic impact of the corona virus and found the recent wheat rally excessive. The European Union's export activity remains lively, and the weakness of the euro and Russia's steps to limit wheat exports are creating strong EU export prospects. Wheat exports run almost smoothly in German ports. For standard wheat with 12% protein for delivery in Hamburg in April, sellers demand a premium of € 4.50 / to above the Matif Mai future.
Source
Hansa Terminhandel GmbH
