Sharp falls on Kansas City wheat due to recent plummeting US plains and negative soybean and corn claims led to heavy wheat losses in Chicago yesterday.
The weekly US export inspections, at 443,269 tons of wheat, were at the upper end of the market expectations of 275,000 - 450,000 tons. Institutional investors yesterday sold 13,000 lots of CBoT SRW wheat. This morning the Weizenfurtures trade in Chicago with moderate mark-ups.
With good sales, the wheat futures in Paris followed the negative overseas guidance and declined sharply. The fixed exchange rate of the euro against the US dollar impedes exports from the euro area. The EU Commission estimates that wheat yields in the European Union for the 2018 harvest in its first estimate of the season are 6.2 tons / hectare. That would be an increase of 1.4% compared to the previous year.
At the cash market in Hamburg, the premiums for wheat with 12% protein fell by 50 cents. Offers for delivery in March are at 3.50 euros over Paris May 18. Market participants are expected shortly tenders from Egypt, Saudi Arabia and Algeria.
