Exchange wheat prices are falling because of the escalating trade wars
Improved weather and increased tensions in trade war the United States with other countries continue to put pressure on the prices of American agricultural products. President trump has announced its intention to introduce a duty on European cars that are imported into the United States that will lead to the imposition of duties on American goods.
the Lack of progress in negotiations with China about the cancellation or postponement of duties on U.S. corn, soy and sorghum from July 6, continues to push prices down. Most experts believe that the continuation of a trade war will lead to a reduction in the rate of global production and could trigger a new financial crisis.
Favorable precipitation was your weekend in Australia, Canada, USA and Ukraine and reduced the anxiety for the fate of the new world wheat crop, which led to falling prices on the American and European markets.
Winter wheat in the U.S. collected by 41% of the area, and the yields were better than expected. The number of spring wheat in good to very good condition for the week decreased by 1% to 77%.
wheat Exports from the U.S. last week totaled 352, 8 thous thousand tons, which is by 46.5% lower than the level of last year, and total exports since the beginning of the new marketing season has reached 1,146 million tons, which is 50% less than a year ago.
As a result, wheat futures in the U.S. fell:
by 6.98 $/t to 172,60 $/t for solid winter HRW wheat in Kansas city
3.49 $/t to 198,23 $/t on a firm spring HRS wheat in Minneapolis.
- by 5.33 $/t to 175,17 $/t for SRW soft winter-wheat in Chicago
amid the decline in prices, Egypt continues to buy wheat from the new harvest, today will hold another tender.
September futures milling wheat on MATIF fell yesterday by 2.25 €/t to 174.00 €/t (203,77 $/t). The increased pace of harvesting in Europe and improving weather conditions for wheat crops in the world puts pressure on prices. Additional pressure carries out the strengthening of the Euro against the dollar.