PARIS: European wheat prices ended unchanged on Tuesday after sharp moves throughout the session with the market torn between India’s decision to clear some wheat exports after announcing a ban over the weekend, and ongoing concern over global supplies.
Benchmark September milling wheat on Paris-based Euronext settled at 438.25 euros a tonne, unchanged from the previous session when it had closed at a record-high level.
The contract shed 2% at the open after India said on Tuesday it would allow overseas wheat shipments awaiting customs clearance, introducing some relaxation after it banned exports of the staple in a move that had sent global markets rocketing.
A rally on US markets on deteriorating crop conditions reversed the trend, pushing all positions for next season to contract highs.
The USDA on Monday rated 27% of the US winter wheat crop in good to excellent condition, down 2 percentage points from the previous week and below analysts’ expectations, while spring wheat was 39% planted, below expectations of 43%.
“The USDA report is certainly bullish. U.S crops are looking worse than expected at a time when markets are already tight.” Ukraine’s deputy economy minister told a conference in Geneva the country was making progress in developing grain exports over land to the EU but would need to regain sea access blocked by Russia’s invasion to avert a worsening food crisis.—Reuters
Comments
Comments are closed for this article.