European wheat fell to a more than three week low on Monday in the wake of US markets, but activity was low as traders awaited the results of the US presidential election and the release of a USDA report later in the week. December milling wheat on Paris-based Euronext was down 0.6 percent at 160.75 euros a tonne by 1651 GMT, a price not seen since October 13.
CME Group's December EU wheat contract was untraded but still offered at a high premium over Euronext. March was down 1 percent at 174.75 euros a tonne. CME's contract has seen a significant fall in volume in recent days. "The market is waiting to see what will happen on the foreign exchange market after the US elections. So far the euro-dollar rate had been the nearly unique driver of the market," a futures trader said.
The market is also awaiting a US Department of Agriculture (USDA) supply-demand report, which is due on Wednesday, and moves by very short US funds. The euro fell against the dollar on Monday after the FBI decided US presidential candidate Hillary Clinton would not face criminal charges, which was seen boosting her chances to win the race. The fall was supportive for euro-denominated wheat futures, although the volume of EU wheat to be exported this year will be limited.