Speculators are trying to heat up wheat prices amid falling demand

Buyers are in no hurry to buy wheat at high prices and expect them to decrease due to the reduction in global demand, while speculators are trying to heat up the market.

Wheat futures grew after oil prices in anticipation of OPEC meeting+ and possible production cuts. But Russia and Saudi Arabia not agreed so the meeting was moved from Monday to Thursday. Perhaps agreement was not achieved, and the intention of Saudi Arabia to press Russia on European markets tightened the situation on the moon.

Domestic demand for wheat in the United States, which last week supported prices began to weaken. But thanks to the wheat speculators courts of the United States yesterday ended in the "green zone".

the May wheat futures in the U.S.:

the

by 2.94 $/t to 173,43 $/t for solid winter HRW wheat in Kansas city

2.02 $/t to 192,72 $/t on a firm spring HRS wheat in Minneapolis.

• for 2.75 $/ton to 201,81 $/t for SRW soft winter-wheat in Chicago

Just a week futures for SRW wheat lost 3.8%, the HRW-wheat – 3.1 percent.

due to the sharp rise in the purchase price, the tender was canceled first Egypt and then Algeria. Representatives of the Algerian Agency OAIC insisted on maximum price bids, it's $215/MT C&F, while the best offer from the bidders had a price of 230 $/MT C&F.

the Algerian tender had resini effect. On the one hand, traders were confident in the victory of French wheat, with another lengthy and difficult negotiations the organizers and participants of the tender, the results of which were not known at the time of the conclusion of the session, showed a failure to agree.

the

• the May futures for milling wheat on MATIF rose by 0.25 €/t to 191 €/t or 206,36 $/t

the bid Price for black sea wheat with protein a 12.5% drop, while the price proposals remain at a high level 225-227 $/t FOB.

In Ukraine, prices for food wheat in the port after growing up 202-203 $/t or 6700 UAH/t at the end of the week down to 197-200 $/t or 6400-6500 UAH/t on the background of increasing prices manufacturers has increased sales, which allowed traders to close short positions for delivery in April-may. Further constrain export low export prices and concerns to exceed the set at 20.2 mln t of export restrictions, since it is now exported 17.9 million MT of wheat, which is 33% ahead of last year's pace.

In the world market more actively offer wheat old crop. In comparison with the current season wheat exports from Canada have slowed down 14% to 10 million tonnes, from Russia – by 12% to 27.5 million tonnes while the United States exported 20,46 million tonnes projected by the USDA 27.2 million tonnes, 8.3% higher than last year on the same date. In the previous season, USA in April-may, exported 6.5 million tonnes, which corresponds to the projections of exports for the current season.