Speculative rise in wheat prices in Europe supported the American stock exchange
Yesterday March wheat futures on the Paris stock exchange rose in price on the back of speculative demand, since the execution time of the March contract is completed.
- the March futures for milling wheat on MATIF rose by 8.5 €/t to 237,5 €/t or 287,02 $/t, followed by the may futures rose by 4.25 €/t to 226,25 €/t or 272,22 $/t
Prices supported the reduction of the Russian Agency Sovekon forecast of wheat production in Russia in 2021 from 77.7 to 76.2 million tons due to the reduction of the area of sowing of spring wheat caused by the introduction of export duties.
the Market is optimistic reacted to the possible increase in European exports of wheat by tenders in Tunisia and Pakistan on the background of reducing competition from Russia.
Traders in the United States returned to the question of possible damage to the winter wheat extreme cold. Additional support was provided by the depreciation of the dollar and rise in price of wheat in the EU.
Today's weekly export sales and shipment of wheat from the United States, and the first predictions of MSG on the area of sowing of wheat in 2021 can significantly change price trends.
the March wheat futures in the U.S.:
- on of 6.80 $/t to 243,42 $/t for SRW soft winter-wheat in Chicago,
- for 4,50 $/t to 233,96 $/t for solid winter HRW wheat in Kansas city,
- by 3.21 $/t to 232,12 $/t on a firm spring HRS wheat in Minneapolis.
the March futures black sea wheat on the stock exchange in Chicago yesterday rose by 1.8% to 283,5 $/t, but that's not yet supported prices in the physical market, where the Russian wheat offered at 280-285 $/t FOB, European on 285-287 $/t FOB, and the Argentine – at 270-275 $/t FOB.