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London wheat closed down 60p yesterday. Sterling remains c. .9050p against euro; May tries to gain support from Europe who say they want to help but will not renegotiate. Significant number of conservative members trigger a vote of confidence on May’s leadership.
Yesterday’s USDA report saw corn and soya up but wheat down. Report was not dramatic but cut US ethanol / corn demand, increased Ukraine corn crop and Brazil soya production. World wheat stocks were increased and cut US exports. Soya reacted to rumours of impending big soya purchase by China; reports suggest China to cut tariff on US made cars to 15% (same as non US producers), this could indicate better relations.
Concerns about possible US recession as Trump threatens to ‘shut down the government’.
October’s UK wheat exports estimated at 30,000 tonnes, imports possibly 300,000 tonnes.
Russian wheat exports slow down due to weather and higher domestic prices hampering exports.
French wheat area up as rapeseed area falls to 14 year low.author: Joe Beardshaw