Bull run continues to be the dominant feature for all agricultural commodities, although the market is becoming increasingly tight as the festive season approaches.
In France winter cereals are currently considered to be in a satisfactory state after favourable sowing conditions this autumn and temperatures that remain mild for the season. The US is looking towards weather issues in Brazil. Rain is needed to help soy and corn area. Long term forecast is suggesting a continued dry trend.
The major news today is the closure of EU boarders to UK trucks, after a new strain of Covid-19 was discovered in Kent. Strangely though this was originally thought to be out into the public domain in Nov. The GBP has collapsed on the back of the news, which ironically is exactly what a no deal Brexit will bring - just 2 weeks early. Brexit talks are at a 'critical' stage according to Michel Barnier whilst this may seems like a Groundhog Day, it certainly is going down to the wire. Fishing is the main reason for a lack of a deal, whilst it seems non negotiable for the UK to loose its fishing rights, as some see this as a loss of sovereignty. Time will tell if the issue of 0.1% of GDP will effect trade talks going forward, but with a Christmas holiday coming up there is limited time to continue talks.
New lockdown restrictions are growing across to the UK and around the world. This itself could be a reason to slow the market in the new year.