Tuesday Market Briefing - 26th May 2020

Futures markets have returned now to the upper end of their current range. Put simply, buyers have returned for new crop demand but they outnumber willing sellers as weather concerns persist. There is no useful rain in the forecast for England, Scandinavia and Northern France over the next 10-12 days which covers a huge amount of the spring barley area. We saw a strikingly similar rainfall pattern in 2018 which impacted barley yields quite hard. That crop was very late drilled while this year’s crop went in mostly on time, so there is a clear threat emerging to European barley yields. 

Wheat is driven by geographically wider world markets and it doesn’t feel like there is enough momentum in the weather story to drive prices higher at present. We except a quiet week with values holding around current levels. The attractive LIFFE linked milling wheat buybacks from UK Millers for this autumn are nearly filled up now so speak to the grain team if you want to catch that one.

Have a good week and stay safe.

Bartholomews Grain Marketing Team