PARIS: European wheat futures edged higher on Friday, a day after almost touching contract lows, as grain markets barely reacted to news of strong supply and demand in a US government crop report. December milling wheat on Euronext settled 0.1percent up at 189.75 euros (USD222.48) per metric ton.
On Thursday the benchmark position had almost equalled a contract low of 188.00 euros struck last week, before steadying. The run-up to the US Department of Agriculture’s monthly world supply-and-demand report had encouraged wheat markets to consolidate after they were pressured this week by swelling global supply and falling Russian prices. The USDA’s data spurred limited price moves, with Chicago wheat easing and corn edging up.
Traders were digesting a higher-than-expected US corn production forecast linked to an acreage revision, along with increased projections of export demand for corn and wheat.
The USDA’s world wheat outlook confirmed abundant global supply, with a sharp increase in expected output leading to a rise in forecast stocks.
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