After days of gains, wheat went south on Euronext/Matif yesterday. With a closing price of EUR 291.75 in March, the Paris Stock Exchange posted a daily loss of EUR 3. According to traders, Algeria has tendered and booked between 360,000 and 390,000 tons of milling wheat through its grain company. First and foremost, Russia should have had good chances here, but there are also reports of at least one French delivery. There is still speculation about the size of the Russian harvest. While local authorities continue to estimate the crop at over 104 million tons, the USDA reported a crop size of 92 million tons in its February WASDE on Wednesday. At the CBoT, the contracts for wheat also showed a red sign across all dates. Losses on the CBoT for wheat are also on the stock exchange board before the trading day. Contrary to what the meteorologists had predicted, there were a few rain showers yesterday in the important winter wheat-growing areas. The other forecasts have also become more rainy again. The weak export sales of the past week caused an additional burden in terms of prices.The hoped-for trend reversal towards good export shipments did not materialize. Just 150,900 tonnes were sold in the week ended February 2nd, well below the average for the last few weeks and even the most pessimistic analyst estimates were higher than the actual figures now showed.
Source
VR AGRICULTURAL
