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London wheat closed slightly weaker yesterday, May 20 closing at £150.75 and November 20 at £156.55
Sterling is stronger and not helping UK wheat in export markets; whilst UK wheat price is competitive, there is a lack of demand at present
French new crop wheat now at parity with UK new crop.
French wheat reached 1 month high before falling, French rail strike could hamper exports and like UK farmers, French are reluctant sellers as planting problems continue.
US markets down as US prepares for Thanksgiving holiday.
Soya reached 2 month low
Some analysts feel US markets have limited down side as much of the bearish news is factored in.
Beans oversold and exports up year on year; hope Chinese trade deal may be signed before new tariffs due December 15th although US support for Hong Kong protesters will not help.
Argentina has new government and may impose export taxes on December 6th
Corn has struggled for demand but, there is still a substantial area of corn still out in the field.
Corn exports has been lost to Ukraine but now US corn cheaper than Brazilian origin; funds heavily short
US has struggled to compete with South American supplies, this is due to currency, Brazilian Real down 13% for the year and Argentine peso down 35% so far this year.author: Joe Beardshaw