Global wheat prices are falling, but in Ukraine is growing due to demand
In the market on Friday, us wheat continued the decline that began yesterday.
First half of the week quotations rose on expectations of traders regarding the increase in quarterly report USDA the forecast of wheat production in the United States, in particular, spring.
However, the official forecast of wheat production was 1.3% above the expert's calculations, and estimation of gross yield of spring wheat by 8.9% higher. Own evaluation of the production of spring wheat USDA increased by 3.5%.
Traders do not pay attention to the reduction in balances of wheat in the United States on September 1, compared to the same date last year by 11%.
December quotations of wheat in the U.S. declined:
- soft wheat SRW in Chicago by 2.48 $/t to 164,70 $/t,
- for hard wheat HRW in Kansas city by 3.77 $/t to 162,68 $/t,
- hard spring wheat HRS in Minneapolis by 7.81 $/t 229,18 up to $/t
the Results of an Algerian tender, where the majority of positions were closed by French wheat, limited Friday the drop in prices of Euronext.
- December futures milling wheat on MATIF fell by 0.50 €/t to 166 €/t (196,01 $/t).
In Russia threshed 92% of the area and collected nearly 84 million tons of wheat with a yield of 3.3 t/ha, which gives hope for obtaining a record harvest at 85 million tons, while USDA estimated it at 83 million tonnes.
a Big crop of Russian wheat has not yet affected the export demand for Ukrainian wheat, which at the end of the week has risen in price by 2-3 $/t
the fall of the hryvnia to the level of 26.5-UAH 26.6/$ increases UAH purchase prices for wheat in Ukraine. Today, in the ports offer:
- 2 gr protein 12,5% 172 and 173 $/t or 5350-5400 UAH/t,
- 3 gr protein 11.5% of 169-172 $/t or 5200-5300 UAH/t,
- feed wheat 158-161 $/t or 4750-4900 UAH/t