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London wheat closed up c. 20p yesterday as it followed other firmer markets. Sterling remains nervous ahead of this weeks ‘crucial’ summit regarding UK membership.
Matif wheat was firmer as Euro was weaker, Draghi alluded to further financial easing. Egypt rejected latest tender with French wheat offered the cheapest.
Stock markets are firmer following market rise in Japan.
Oil continues to rise with Brent crude +1% but Iran loads first oil cargo for Europe since sanctions imposed
On the negative side, funds increase their short position provoked by USDA bearish numbers on world wheat stocks and US wheat condition improving.
Indian wheat crop prospects are better than expected due cooler wet conditions (latest government forecast 94 mmt against trade predictions 75-84mmt), harvest starts March – April
UK exports are busy March & April.
Imports to Spain are forecast to be down but wheat tonnage may increase as wheat discount has increased to corn.
Reports of increased rust disease in UK wheat, conditions and growers are unable to get onto fields because of the wet.author: Joe Beardshaw