A prolonged strike by increase of prices for wheat in the EU
Friday After a slight fall of French wheat market started the week in the rapid growth and renewed 7-month high. The main causes is the response to the January balance sheet in the WASDE wheat and the threat of failure of the schedule of export shipments of wheat due to prolonged strike of transport workers and dockers.
wheat Prices that traders are willing to pay the export ports of Rouen and La Palls, for the week increased by 1.2-2 €/t and 5 €/t exceed stock quotes.
- March futures for milling wheat on MATIF rose by 1.5 €/ton to 193 €/t or 214,95 $/t
Today, the Egyptian GASC tenders for the purchase of at least 55-60 thousand tons of soft milling wheat supply March 1-10, 2020, which can provide support to wheat prices.
the market presses active exports of wheat from Argentina, which in December 2019 shipped 3.9 million tons, which is 56% higher than the December 2018 In January it is planned to ship 2.9 million tonnes of wheat in February – 2.6 million t, and in General, according to stock exchange Bolsa de Comercio de Rosario, already contracted 11.9 million tons of wheat.
Experts noted a significant increase in shipments of wheat to Asia, although traditional pokupai Argentine wheat is considered to be Latin America. Approximately 35% of the December exports of Argentine wheat were shipped to Brazil, 35% in Asia and 18% in Africa. Through fierce competition with French wheat, Argentina has reduced exports of wheat to the North (Algeria, Morocco) and Western (Nigeria) Africa.
In the United States after 4-day rising prices, investors began to fix profit and to carry out speculative sale. March wheat futures in Chicago rose on Friday to a 6-month high.
March wheat futures in the U.S. fell:
0.74 $/t to 181,05 $/t for solid winter HRW wheat in Kansas city
at 1.10 $/t to 204,02 $/t on a firm spring HRS wheat in Minneapolis.
- 0.83 $/t to 206,59 $/t for SRW soft winter-wheat in Chicago