PARIS: Euronext wheat fell on Thursday to a four-week low, pressured by a slide in Chicago grain futures as widespread rain eased concern about US Midwest crops.
Favourable wheat harvest prospects in Europe and the Black Sea region and doubts over French export prospects also curbed prices, traders said.
Front-month September milling wheat on Paris-based Euronext settled down 2.25 euros, or 1.1%, at 204.50 euros ($244.01) a tonne.
It earlier reached its lowest since May 26 at 203.50 euros.
Wheat markets had been supported in the previous session by a rally in Minneapolis spring wheat futures amid persisting drought in northern US spring wheat zones.
But heavy rain forecast in a swathe of the US Midwest tempered worries on Thursday about corn and soybean crops, while an advancing US winter wheat harvest also created supply pressure.
Crop prospects in Russia, the world’s biggest wheat exporter, were favourable in the run-up to harvesting.
In Europe, the European Commission trimmed its monthly forecast for this year’s soft wheat crop in the European Union but production would be 7% above last year’s level.
In France, forecasts calling for more rain into next week were raising some doubts about pre-harvest crop development, although drier, warmer weather expected at the start of July was seen as reassuring, traders said.
Export sentiment remained mixed, with news of a shipment of Russian wheat to Algeria and talk of recent Australian wheat sales to China clouding French prospects in its top two export markets.
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