LONDON: European wheat futures in Paris ended slightly lower on Wednesday as forecasts for more rain helped to boost crop prospects in parts of Western Europe while the outlook for production in the Black Sea region remained favourable.
Benchmark September milling wheat.
on the Paris-based Euronext ended 0.25 euros lower at 172.00 euros a tonne.
Dealers noted recent showers in several countries including France, Germany and Britain had diminished concerns about dryness although more rain is needed in some areas.
"A good volume of rain is forecast in Germany in coming days which will be very welcome," one German trader said. "But with soils remaining unusually dry under the surface after the drought last year, more rain is still needed."
A public holiday in France reduced participation in the market while in Germany, cash premiums in Hamburg were generally flat with attention turning to the new crop.
Standard bread wheat with 12 percent protein for September onwards delivery in Hamburg was offered for sale little changed at around 0.5 euro under Paris December.
"I have the impression that the main German flour mills have purchased their main old crop supplies and the main market interest is focusing on the harvest this summer," one German trader said.
"But farmers are often unwilling to sell at the current relatively low outright prices following the weakness in Paris futures in recent weeks."
Germany's new crop export prospects were not encouraging, with cheap offers being made in export markets by rivals suppliers in Poland and the Baltic States, he said.
November feed wheat futures in London ended unchanged at 144.50 pounds a tonne.
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