After a positive start to the trading day, wheat prices on both sides of the Atlantic turned negative yesterday. Pre-market today, the wheat contracts on the eCBoT are green. The wheat market is getting support from the sluggish US sowing of spring wheat. As of May 8, only 27% of the planned space in the USA has been cultivated, at this point in time the average is already 47%. Ultimately, however, the losses can be explained by the general mood on the financial and commodity markets. Rising interest rates in the USA and the associated fears of a slowdown in the economy weighed on traders' mood yesterday. Weekly shipments released by the USDA yesterday show 155,000 fewer wheat shipped than the week before. In Germany, the Brewers' Association expects an increased area for malting barley due to seed sales. A and B wheat continue to find buyers on cash markets. Nevertheless, not every price demand is so easily accepted by retailers.
Source
VR AgrarBeratung AG