Prices on the American and European wheat are moving in different directions

2021-02-01 12:01:18
Machine translation
Prices on the American and European wheat are moving in different directions

At the time, both on U.S. exchanges speculators again warm up the price of wheat on the physical market, they are gradually declining under the pressure of increasing sentences.


French wheat on Friday, dropping as traders in the absence of factors decided to wait for major tenders, primarily Egypt, to assess the competitiveness of European grain.


the European Commission has increased the forecast of wheat exports in 2020/21 MG to 2 million tonnes to 26 million tonnes, reducing the estimated consumption of wheat for feed by 3 million tons.



  • the March futures for milling wheat on MATIF fell by 2.75 €/t to 227 €/t or 275,52 $/t


On the physical market bid prices Baltic and Polish wheat has decreased to 285 $/t FOB, and French – up to $290/t FOB, which increases pressure on the prices of Russian wheat exports continues to grow.


For the week, Russia exported 1.3 million tons of wheat, and in General in 2020/21 MG – 28.9 m tonnes, which is 26% higher than last year's pace.


Thanks to boost exports in anticipation of the imposition of the fee experts SovEcon increased the estimate of Russian wheat exports in 2020/21 MG 1.6 million tons to 37.9 million tons Expected in January, will be exported a record 3.3 million tonnes of wheat, which is 57% higher than the figure of January 2020.


bid Prices of Russian wheat remained at the level of 290-294 $/t FOB, however, delivery before March 15, buyers get discounts, take benefit of the Turkish company. So all small vessels in the ports of Russia rose sharply.



  • the March futures for black sea wheat on the Chicago stock exchange on Friday fell by another 0.4% to 288 $/t, while July rose 0.5 percent to 245 $/t


Wheat exchange in Chicago after a two-day fall has completed Friday's session with a plus. The investors have been speculative purchases amid growing neighboring corn market caused by record export sales to China. According to the USDA, during 14-21 January, China has contracted 130 thousand tons of U.S. wheat, double the figure the previous week. Since the beginning of the season China contracted 2.6 million tons of wheat from the United States, which is the maximum of the last 7 years.


the March wheat futures in the U.S.:


by 4.41 $/t to 234,42 $/t for solid winter HRW wheat in Kansas city

by 5.14 $/t to 232,77 $/t on a firm spring HRS wheat in Minneapolis.

  • 5.88 $/t to 243,61 $/t for SRW soft winter-wheat in Chicago


Ukraine per week reduced the export of wheat by 24% to 141 thousand tons, and the whole season has shipped 13 million tonnes, which is 18 per cent behind last year's pace.


the Containment of sales of manufacturers and the uncertainty of export prices, decline expected customers, reduces the activity of the exporters, so the prices remain at the level 275-278 $/t or 9200-9300 UAH/t for deliveries to the port.

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