Good weather conditions in the main exporting countries accelerate the fall in wheat prices

< span style="font-size:14px;">against the background of favorable weather in wheat-growing regions, prices on world stock exchanges and physical markets have already fallen to the level of last month.

< span style="font-size:14px;">moderate to heavy rains took place in the United States and Canada over the weekend, which will last for another week. This reduces the stress of drought and reduces speculative pressure on quotes.

< span style="font-size:14px;">pressure on the prices of Ukrainian and Russian wheat was increased by the results of a tender in Egypt, where GASC purchased 240 thousand tons of Romanian wheat at an average price of F 257.6/ton FOB.

< span style="font-size:14px;" > according to the USDA weekly crop report, as of May 23, 94% of the area was sown with spring wheat in the United States, compared to 78% last year and 805 on average over 5 years. The number of winter wheat crops in good or excellent condition for the week decreased by 1% to 47%, although last year it was 54%.

< span style="font-size:14px;">wheat exports from the United States for the week amounted to 573.9 thousand tons, and in general in the season – 24.9 million tons out of the projected 26.26 million tons, which is 2% higher than last year's pace.

< span style="font-size:14px;">prices on the wheat exchanges in Chicago and Kansas City are falling for the sixth consecutive session and have already crossed a monthly low.

< span style="font-size:14px;">July US futures fell:< / span> < / p>

• < li> < span style= " font-size: 14px;" > by 4 4.41/t to до 243.33 / t for soft winter SRW wheat in Chicago,< / span> < / li>
• < span style= " font-size: 14px;" > by 3 3.22/t to до 226.06 / t for hard winter HRW wheat in Kansas City,< / span> < / li>
• < span style="font-size:14px;" > by 5 5.79/t to.251.60/t for hard spring hrs wheat in Minneapolis.

< span style="font-size:14px;">European traders were upset by the fact that at yesterday's tender in Egypt, the price of a single offer of French wheat was higher not only for Romanian wheat, which won, but also for the best offers of Russian wheat. They are also concerned that the competitiveness of Russian wheat will increase from June 2, when the current fixed export duty will be replaced by a "floating"one.

• < span style="font-size:14px;">September wheat flour futures on MATIF fell 4.5 € / T to 208.25 €/t or 254.25 € /t.< / span> < / li>

< span style="font-size:14px;" > in Russia, as of May 24, 10.1 million hectares or 79.8% of the planned area were sown with spring wheat, which reduces concerns about the delay in sowing. Forecasts of heavy precipitation in the winter wheat growing regions in the Southern and Central Districts will increase production forecasts.

< span style="font-size:14px;" > in Ukraine, purchase prices for wheat of the old and new crops in ports fell to 2 233-240/ton or UAH 7300-7500/ton under pressure from an increase in the supply of the old crop and an increase in forecasts of the new crop against the background of heavy rains in recent weeks.