The stock exchanges in the US were closed yesterday due to the Memorial Day. This morning, the wheat futures on the eCBoT are trading at hefty mark-ups, as it was again very hot in the US plains last weekend and its wheat stocks are suffering. In other important export regions, such as Australia, Russia and the Ukraine, market participants are worried about the condition of wheat stocks due to unfavorable weather conditions.
At Euronext in Paris yesterday, it was quiet due to the absence of US market participants. Wheat futures ended yesterday's trading day again with spreads and reached the highest trading level since mid-July 2017. They benefited from the weak exchange rate of the euro against the US dollar, which improves the competitiveness of euro area wheat in the world market. Egypt's highest administrative court has ordered that the country accept wheat with traces of ergot. A lower court had ruled last year that there should be no tolerance for the issue of ergot in imported wheat. Suppliers on the world market were thereby deeply insecure. Algerian imports of cereals, durum wheat semolina and flour rose by 16% in the first four months of this year.
