PARIS: Euronext wheat futures ended little changed on Monday, consolidating after a slide last week as traders weighed a rebound in Chicago, improving crop weather and signs of fresh demand from importers.
Front-month December milling wheat on Paris-based Euronext settled 0.25 euro, or 0.1%, lower at 205.00 euros ($238.31) a tonne.
It earlier fell to 202.75 euros, close to Thursday's two-week low of 202 euros, before steadying with support from a rebound in Chicago futures following a five-session slide.
After hitting multiyear highs during October, wheat markets came under pressure last week from rain relief for parched growing belts in Russia and the United States, as well as investor worries about renewed coronavirus lockdown measures. With investors holding long positions in grains, global crop weather conditions improving and Tuesday's US presidential election generating uncertainty, some traders said there was scope for crop futures to retreat further.
But others saw wheat markets as underpinned by tightening supply, high Russian prices and brisk international demand, including from China.
"There is still a certain amount of tension in wheat fundamentals," consultancy Agritel said in a note.
"Wheat prices in the Black Sea region have eased slightly in line with the pullback in Chicago and Paris. But demand is not lacking and you have to factor in a fresh drop in the rouble in the wake of falling oil prices."
Tunisia and Turkey issued tenders on Monday to buy milling wheat, adding to a clutch of import tenders last week.
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