The price of wheat has updated a two-month high

Monday stock prices for wheat continued to rise on the background of precipitation with snow in the US and Canada, which reinforces the concern about the harvest of spring wheat.

Thanks to the progress in the negotiations between the US and China, which has promised to increase the purchase of American agricultural products at $ 40-50 billion, wheat prices also rose.

• the December wheat futures on the MATIF rose for two days at 3.25 €/t to 180,25 €/t or 198,75 $/t

the Market has supported a delay of sowing of winter crops in France, where on 7 October, winter wheat sown, only 4% of squares compared to 15% at the same date in 2018.

in addition, Turkey announced two tenders for the purchase of 317 thousand tons chervonoarmyska soft and durum wheat production in the EU. However, traders fear the imposition of EU sanctions on Turkey for military action in Syria.

Last week, the EU exported 143 thousand tons, while the year before, according to the revised data, – 318,1 thousand tons In total in the new season exported of 7.46 million tonnes, which is by 47.9% more than the corresponding figure of the previous MG.

With the support of the growth of the corn market and the background of frost with snow on the Northern plains of the United States, the December wheat futures in Chicago rose to the highest since July 25, level.

the December wheat futures in the U.S.:

by 8.27 $/t to 156,43 $/t for solid winter HRW wheat in Kansas city

by 6.15 $/t to 202,82 $/t on a firm spring HRS wheat in Minneapolis.

• by 6.61 $/t to 187,76 $/t for SRW soft winter-wheat in Chicago

Traders expect reports on the harvesting of spring wheat and corn, as well as U.S. exports that will determine the future direction of prices.

the ICARUS Agency increased the forecast of wheat production in Russia 200 thousand tonnes to 75.6 million tonnes. Domestic prices of wheat in the country still exceeds the export. Prices of wheat protein 12,5% increase to 205 $/t FOB, while the bid price has reached 198-200 $/t FOB.

the Market expects Egypt this week will hold a new tender for the purchase of wheat.