Further reduction in crop forecasts for Russia have strengthened wheat prices

the Rate of harvest of wheat in Ukraine and Russia is higher than last year, thanks to the warm and dry weather, while the share of food grain reaches 70-80%. Yields are higher in Ukraine than last year, and in Russia – below.

As of July 24, in Russia of 10 million hectares and produced 37 million tonnes of wheat with the yield of 3.7 t/ha, whereas on this date in 2018 was threshed 7.5 million hectares, and the yield amounted to 3.83 t/ha.

In Ukraine on July 24, with 74% of the area harvested 18.9 million tons of wheat with a yield of 3.85 t/ha, up from 3.42 MT/ha in 2018.

due to the low yields of wheat experts have revised forecasts of production in Russia. Yesterday, the Agency Sovecon for the second time in July reduced the crop forecast by 2.9 million tonnes to 73.7 million tonnes, 0.5 million tonnes inferior to the latest forecast USDA.

the slowdown in the production in the background of several procurement tenders supported speculative growth of stock prices.

Philippines has acquired Australian feed wheat delivery in October and February at a price of 240 $/t CFR.

Tunisia bought 92 TMT of wheat with protein 11% delivery 1-25 September at a price of 215.8 $/t CFR, which was lower than in the tender in Egypt.

, Jordan announced a tender for purchase of 120 thousand tons of milling wheat for delivery in late October after a newly purchased 60 thousand tons of wheat at a price of 229.5 $/t CIF.

Data crop tour in North Dakota was not quite correct. High yielding spring wheat will be only in certain regions, whereas in most areas of the state it will be lower than average. This news became a driver for the exchange in Chicago.

the September wheat futures in the U.S.:

the

by 2.94 $/t to 161,49 $/t for solid winter HRW wheat in Kansas city

0.64 $/t to 191,89 $/t on a firm spring HRS wheat in Minneapolis.

• 3.86 $/t to 182,89 $/t for SRW soft winter-wheat in Chicago

French stock exchange also grew with the support of Chicago and the depreciation of the Euro against the dollar to the level of 1,114.

the

• September futures for milling wheat on MATIF rose by 0.75 €/t up to 175,25 €/t or 195,20 $/t

the Rise in prices has limited the dry and warm weather that creates ideal conditions for harvest.