HAMBURG: European wheat futures rose on Monday, pushed up by continued interruption of Russian and Ukrainian Black Sea ship-borne exports, while a new purchase tender from big importer Algeria sparked hopes of new EU sales. Benchmark December wheat on the Paris-based Euronext exchange was up 1.3percent at €244.25 (USD281.82) a metric ton at 1446 GMT, still below a September 2 contract high of €259.25.
Russian and Ukrainian ship-borne Black Sea exports have almost stopped after both sides attacked each other’s ports and shipping with alternative routes unable to fully compensate for lost sea shipments.
“Euronext wheat is finding support as Black Sea shipments from Russia and Ukraine remain basically stopped by the fighting,” said CM Navigator analyst Donatas Jankauskas. “The US Department of Agriculture (USDA) in its world supply and demand report on Friday did give some bearish wheat estimates, but I do not think this is fully reflecting what is happening in the Black Sea.”