Wheat prices depend on the actions of the importers
the Latest procurement tenders in Algeria and Egypt in the near future will determine the dynamics of prices for wheat, as any fundamental factors are not yet available.
Selling significant quantities of French wheat for an Algerian tender traders do not think a victory, because it had to drop the price below the current market. Moreover, other export markets the French grain is less popular than in Algiers.
Recall that the Algerian Agency OAIC bought 660 thousand tons of milling wheat at a price 210-212,5 $/t C&F for delivery in January 2018.
- December futures milling wheat on MATIF fell by €1/t to 161,5 €/t (190,2 $/t).
In Chicago prices fell for a third day in a row under pressure from speculators and the unsatisfactory volume of weekly export sales. Worsened sentiment the news about the closure of the office of U.S. Wheat Associates in Cairo, who for 40 years lobbied for the export of grain from the United States.
Unfavorable for price factor was the dry weather that dominates the mid-West and southern U.S. Plains. It will accelerate planting of winter wheat, the rate of which is behind the level of previous years.
December quotations of wheat in the U.S. declined:
for hard wheat HRW in Kansas city by 1.93 $/t to 157,26 $/t,
hard spring wheat HRS in Minneapolis by 0.37 $/t to 224,13 $/t
- soft wheat SRW in Chicago for 1.75 $/t to 157,99 $/t,