Wheat on the Matif went south again yesterday at EUR 6 in the front month. CBoT wheat also lost double digits. Accordingly, the cash market quotations in Germany for bread and feed wheat, but also for barley, have recently fallen. While 323 euros/t were quoted for feed wheat in Hamburg on Monday, yesterday it was 317 euros/t for deliveries in March. However, cash transactions are apparently picking up again. The feed mixers are increasingly asking for grain again, but the willingness to sell is still mostly low due to different price expectations between buyers and sellers. On the Matif, the weak export figures in the first week of January in particular put pressure on sales. Only 63,000 tons were shipped in the first week, significantly less than in the last few weeks. At the CBoT, traders position themselves for tomorrow's WASDE. The majority expects that the acreage in the USA for the coming harvest will be larger than in the previous year. The export potential should also be corrected downwards. India's state grain agency expects a quantity of 112 million tons for the coming wheat harvest, which would be 5.5 million tons more than in the previous year.Above all, a larger acreage is responsible for the increase in production.
Source
VR AGRICULTURAL
