Reduced crop forecasts for Russia and China support prices for wheat

Support wheat quotations yesterday the stock exchange was forecasts of lower global production.

the results held in southern Russia for crop-tour, experts Agritel estimated future crop of wheat in the country at 67.4 million tonnes, 21.5% yield indicator 2017 and 1.1 million tons less than the June forecast USDA.

the national Council of China for grain and oilseed reduced the estimate of wheat production by 2.5% to 126,73 million tonnes, although some market participants predict a yield reduction of 15-20%.

the Market has supported the growth of the weekly exports by 37.7% to 426,9 million tonnes, although this is inferior to 31.6% last year's rate.

the July wheat futures in the U.S.:

1.65 $/MT to 181,24 $/t for solid winter HRW wheat in Kansas city.

• by 2.57 $/ton to 181,97 $/t for SRW soft winter-wheat in Chicago

level 203,10 $/ton, the price remained at a solid spring HRS wheat in Minneapolis.

In Europe have begun harvesting, so in the near future it will be known how the drought affected the yield of grain in Germany and Poland.

Prime Minister of Poland G. Morawiecki said that "from a shortage of rainfall has affected almost 30% of crops, and crop losses can be very significant, because the water balance was worse than in the dry 2006 and 2015".

• September futures milling wheat on MATIF rose 2.5 €/t to 176,25 €/t, and due to the strengthening of the Euro 1,162 to €/$ the dollar price rose to 204,86 $/t