Less frost increases the pressure on the world price of wheat

rising prices of oilseeds and maize did not support the price of wheat, which remain at the same levels and even slightly declining amid falling demand and lack of damage to the winter wheat crop in the United States due to the cold weather.

In the next 7-10 days in the regions of cultivation of winter wheat in the US, the EU, Ukraine and Russia, the temperature rises to -1...+10 degrees and will be little precipitation that will accelerate the recovery of vegetation and allow the start of plant nutrition and in the South – sowing of spring crops.

the March wheat futures on Euronext expensive because the timing of the March contracts completed and traders are forced to buy paper contracts at high prices.

• the March futures for milling wheat on MATIF since the beginning of the week rose by 3.25 €/t to 240,75 €/t or 292,56 $/t, and the may – at 3.25 €/t to 229,75 €/t or 278,89 $/t

the Strengthening of the Euro increases the pressure on European prices of wheat, so the physical markets, sellers are willing to lower the price to 285 $/t FOB.

the EU in the current season exported 16,59 million tons (about 2 million tons a month) of soft wheat, which is 22.6% less than last year. To reach the projected 27 million tonnes over the next 4 months to increase exports to 2.5 million tonnes per month, which is hard to do on the prospect of increasing production in the new season.

According to USDA extreme cold had little impact on winter wheat. On February 21, in good or excellent condition was 40% of crops, whereas in the beginning of the year was 43%, and on a specified date in the past year, 35%.

wheat Exports from the U.S. last week fell by 29% to 324,6 kt, and just season made up 17.76 million tons By the USDA forecast until June 1 you need to export 9 million tons of wheat, or 650 thousand tons weekly, which looks unreal amid the suspension of purchases by China and the acquisition of Japan in the last tender of cheap Australian wheat.

Asian buyers purchase predominantly Australian wheat, which, with delivery in April and may offer 285-295 $/t FOB.

the March wheat futures in the U.S. fell:

• 1.29 $/t to 235,48 $/t for solid winter HRW wheat in Kansas city,
• 0.64 $/t to 233,69 $/t on a firm spring HRS wheat in Minneapolis.

Rose 0.64 $/t to 244,35 $/t for SRW soft winter-wheat in Chicago.

In Ukraine after the corn market prices for wheat since the beginning of the week rose in the port 2-3 $/t to 271-274 $/t or 9070-9100 UAH/t, which has forced refiners to raise prices to 8900-9100 UAH/t with delivery to the plant and reduced export supply. On the market, there is a seasonal increase in demand in the backdrop of high prices and good prospects for the new crop.

As of February 22, Ukraine exported 13.3 million tonnes of wheat, of which 67%, or 8.9 million tonnes of food. Until the end of the season is to export another 4.2 million tonnes and 1 million tonnes per month, which corresponds to the usual for this period, the pace of shipments.