On Friday, stock prices for wheat resumed their decline

Last week, there was strong volatility in wheat prices on global stock exchanges. At the beginning of the week, prices fell as traders considered the market overheated, but active purchases by importers of new volumes pushed quotes up.

The pace of wheat sales in the main exporting countries is quite low, while export forecasts until the end of the season are high. Given the traditional drop in importer activity in the second half of the season, only problems with the new crop will be able to support prices.

On Thursday, the December USDA report will be released, which may significantly increase forecasts for wheat production in Australia, Argentina and Russia, and slightly in Canada, which will improve the global balance in the current season.

According to the final StatsCan report, Canada harvested 21.6 million tons of wheat in 2021, which exceeds the average analyst estimate of 21.2 million tons and the USDA November forecast of 21 million tons. at the same time, the durum wheat harvest decreased to 2.65 million tons, while analysts expected it to fall to 3.6 million tons.

In the US, wheat prices fell amid profit-taking by traders after a sharp rise in price on Thursday. During the week, traders significantly reduced the number of long and short positions on wheat in anticipation of a new USDA report that could turn the market around.

December futures on US stock exchanges fell:

• by 4 4.41 / ton to Чикаго 291.9/ton for soft winter SRW wheat in Chicago,
• by 6 6.06 / ton to H 302/ton for hard winter HRW wheat in Kansas City,
• by 9 9.09 / ton to.380.8 / ton for hard spring HRS wheat in Minneapolis.

According to FranceAgriMer, in France, as of November 29, 99% of the planned areas are sown with winter wheat, and 99% of the crops are in good or very good condition.

• December European wheat futures on Paris Euronext fell by 7.5 €/t to 283 €/t or 3 319.5 / T, which corresponds to the level of the end of September.

December Black Sea wheat futures at Chicago SWOT fell п'ятницю 0.75/ton to п'ятницю 342/ton on Friday, although they remain at a high level due to uncertainty with restrictions on wheat exports from Russia in the second half of the season, as analysts ' estimates diverged in the range of 9-14 million tons.

In Ukraine, prices for food wheat against the background of high export demand again increased in ports to 3 325-327/ton or UAH 10,000-10,150/ton, which increased the number of offers from farmers.