PARIS: Euronext wheat edged higher on Monday, recovering from an earlier fall, amid concerns about the Omicron coronavirus variant and persisting risks to global wheat supplies.

Volumes were light, with activity winding down ahead of year-end holidays.

March wheat on Euronext settled up 1.25 euros, or 0.4%, at 279.75 euros ($315.53) a tonne.

It earlier fell 2%, pressured by a broad slide in financial markets as investors fretted over the economic impact of the Omicron variant.

The contract found chart support near last week’s two-month low before turning higher with Chicago wheat.

Its afternoon gains were capped, however, by resistance at 280 euros.

Euronext has pulled back from a record high above 300 euros last month.

However, adverse crop conditions in the US Plains, brisk demand from importers, and export restrictions planned in Russia and Argentina have helped curb losses.

“With sowings for 2022 lower in the EU, Ukraine and Russia, and only slightly higher in the US, there is no room for a weather accident,” consultancy Agritel said in a note.

The French market was being supported by reports of further sales of feed wheat to China last week, tempering concerns about an expected loss of French market share in Algeria.

Prices in Poland held around recent high levels, despite slow export shipments, with hopes for new demand in the new year as Russia plans an export quota and further raises export taxes.

Exporters were offering about 1,370 zloty (295.7 euros) a tonne for Polish 12.5% protein wheat for December/January delivery to ports, unchanged on the week.

“Only one large vessel is in port export lineups, loading 30,000 tonnes of wheat in Gdynia for Morocco,” one Polish trader said.

“Export sales are believed to be slow due to our high fob prices and continuing high ocean freight rates from the Baltic.”

Inland prices were also unchanged, around the same level as exports at about 1,370 zloty a tonne delivered January delivery to mills.