Strong demand from buyers strengthens the price for black sea wheat

While the world's wheat exchanges have stabilized after the publication of the "bearish" USDA report, black sea wheat on the background of active purchases from importers continues to rise and already exceeds the cost of French wheat.

Wheat exchange in Chicago yesterday recovered from Friday's fall by speculative purchases by investors.

by statistics Canada decreased compared to the August estimate forecast wheat production from 35.74 to 34.1 million tonnes, But the market has not reacted to the increase in harvest in Russia and increase the Agency's Abares forecast the wheat crop in Australia to 28.9 million tons and exports to 18.5 million tonnes, which exceeds the data of the updated USDA report.

According to the weekly monitoring of the Ministry of agriculture of the USA, spring wheat, collected on 92% of the area that corresponds to the average 5-year level, while last year the figure was 75%. Winter wheat already sown 10% of the planned areas compared to 6% last year and 8% on average for 5 years.

wheat Exports from the U.S. last week rose to 637 thousand tons, which exceeded expert expectations, and since the beginning of the season was 8 million tonnes, which is 8% ahead of last year's pace.

December wheat futures in the U.S.:

the

0.83 $/ton to of 173.98 $/t for solid winter HRW wheat in Kansas city.

• 1.38 $/t to 200,52 $/t for SRW soft winter-wheat in Chicago

-0.64 $/t to 194,92 $/t hard spring HRS wheat in Minneapolis.

the Market for French wheat yesterday came under pressure from news of a Chinese embargo on the import of pork from Germany as a result of ASF outbreaks that may reduce the demand for feed within the EU. However, the results of the tender in Saudi Arabia and strengthening Chicago was supported by quotes.

wheat Exports from the EU for the week only amounted to 81,5 thousand tons and since the beginning of the season to 3.6 million tonnes, which is 41% lower than the level of last year.

the

• December futures milling wheat on MATIF rose by 0.25 €/t to 188,75 €/t or 224,19 $/t

State Agency Saudi Arabia SAGO purchased the tender 745 thousand tonnes of food wheat for shipment in November-December at an average price 251,13 $/t CFR, and Jordan will soon hold a tender for the purchase of 120 thousand tons of wheat.

In Russia as of 14 September, from 25.8 million ha, or 87.8% of harvested acreage of 81.3 million tons of wheat with a yield of 3.15 t/ha, which confirms the predictions of the crop within 83-84 million tons.

bid Prices of black sea wheat protein 12,5% increased by 3-5 $/t to 226-230 $/t FOB, while the bid price does not exceed 225 $/t FOB, because at the same price offered French wheat. A further rise in prices limit the decline in demand and increased purchasing cheap Asian buyers of Australian wheat for delivery in December and January, while buyers from North Africa prefer Argentinean wheat.

In Ukraine, the bid prices for milling wheat grew up in port before 208-211 $/t or 6850-7000 UAH/t, and the farmers, who had expected such levels began to actively sell the grain.