Our market reports are opinion based and are not instructions to trade. You are responsible for your own trading decisions.
London May 17 wheat closed down 45p and November 17 wheat down £1.15.
Sterling gained on reports that the UK interest rates could rise with BOE committee showing sympathy for rate rise, Euro supported by Dutch election result.
US market held recent gains as export figures supported soya and corn (corn exports up 66% year on year); wheat still suffering dry conditions in plains.
Funds are 80% long on soya meal indicating bullish sentiment but also danger if no weather threat emerges, there could be panic selling.
Plenty of wheat buying, Algeria buying 480,000 tonnes after last month’s 585,000 purchases; Egypt has bought 1.68 mmt in last month’s tender.
EU wheat exports forecast to get back to 26 mmt next season as yields and quality recover from the 2016 harvest problems.author: Joe Beardshaw