PARIS/HAMBURG: Euronext wheat rose on Wednesday, rebounding from four-week lows on Tuesday, as Ukrainian attacks on Russian grain export terminals heightened concern about disruption to massive Black Sea shipments.
Gains were mostly more moderate than for Chicago wheat , with traders and analysts citing weak export demand in Western Europe and an already large long position held by investment funds in Euronext wheat.
December wheat, Euronext’s most active position, rose 2.2 percent to €232.50 (USD268.35) a metric ton at 1517 GMT.
Two of Russia’s biggest grain terminals in Novorossiysk suspended operations following Ukrainian drone strikes, threatening Russia’s huge wheat exports to world markets and possibly transferring importer purchases to other regions.
“If the fighting persists in the Black Sea with the logistical problems, then it will be pretty bullish for wheat,” a futures broker said. “But for now there’s the idea that port silos in France are full, demand is lacking and there’s no switching yet from Black Sea towards Western European supplies,” he said.
Euronext September wheat climbed more sharply, adding 3.5 percent to €220.75 a ton.
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