The fall of the markets of soybeans and corn is putting pressure on wheat prices

due to the lack of progress in talks between the US and China, the fall of the markets of soybeans and corn significantly pressure on wheat prices. An additional factor of pressure was the fall in stock indices, caused by a decrease in fed rate hike under pressure from the U.S. President, who wants to enhance the country's economy after the slowdown in the war with China.

two days September futures on soft wheat in Chicago fell by 6 $/t, have played a role speculative sale and closeout at the end of the month. According to statistics, farmers have accumulated significant stocks of wheat.

the Fall in stock prices helped to increase the level of expectation for weekly export sales of US wheat to 300-600 thousand tons.

the September wheat futures in the U.S. fell:

at 3,95 $/t to 155,33 $/t for solid winter HRW wheat in Kansas city

at 3.40 $/t to 190,88 $/t on a firm spring HRS wheat in Minneapolis.

• by 3.67 $/ton to 179,03 $/t for SRW soft winter-wheat in Chicago

Importers amid falling prices stimulate purchases of wheat.

this week, Algeria bought 570 thousand tons of wheat primarily French production costs 215,5 $/t CFR for delivery in September.

Jordan purchased 25 KMT of Romanian wheat at the price of 234 $/t CFR for delivery in September and 60 thousand tons of Ukrainian wheat at a price of 229.5 $/t CFR for delivery in October.

the Results of an Algerian tender led to decrease in quotations of French wheat. Despite the fact that a large proportion of purchased grain is of French origin, traders are concerned about the decrease in purchasing prices compared with the previous auction.

the New harvest increases pressure on prices. The Agency Strategie Grains yesterday raised its forecast of production of soft wheat in France immediately to 38.98 million tons.

• September futures for milling wheat on MATIF fell by 2.25 €/t to 174,75 €/t or 193,09 $/t

the Decline in stock prices puts pressure on prices of black sea wheat, but the prices of offers of Russian wheat protein 12,5% remain at 194-195 $/MT FOB, while Ukrainian with protein 11,5% - level 189-190 $/t FOB.

However, buyers that are willing to pay such a high price, not much, so export demand is insignificant. Upon receipt of the new crop, this can lead to decrease in quotations.