A return to cool wet weather forecast for this week is probably welcome in many quarters for late drilled spring crops.
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Markets looked drifty for most of the week but another strong Friday performance brought us back into slightly positive territory again.
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Markets had a positive week , the first time we’ve been able to say that in a while, as buyers finally saw value in the lower prices for old and new crop.
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Crop forecasters were out in force last week, the USDA outlook conference in Washington DC posted the first US crop guess for next year
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A modest rally on Friday can’t disguise the fact that wheat had another tough week, extending the recent lows on old crop where the carry to new is approaching £20/MT
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Shipping dangers in the Red Sea area are ongoing as Yemeni Houthi rebels continue to fire upon commercial vessels. Counter-strikes by US & UK forces
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Improved weather prospects (rain) for both US Plains wheat and Argentinian corn, helped markets resume the January slide
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The downside momentum in wheat markets has continued but by the end of last week there was a whiff of a change in tone. The hefty South American corn harvest still weighs on sentiment
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May futures dipped below £190 for the first time last week, a downside breakout which might put some further pressure on values this week.
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