EU Wheat Ends Mixed Wednesday

EU wheat futures closed the day narrowly mixed Wednesday with Paris November milling wheat down EUR1.75 at EUR129.00/tonne, and London November feed wheat closing up GBP0.50 at GBP100.50/tonne.

It was a relatively quiet low volume day, after prices have perked up a little the last few sessions.

Buyers are still far from convinced that we've seen a bottom to this long-term bear market, but at current levels most farmers are generally content to stand aside.

A weak pound today certainly helped London wheat nudge higher, ideas that interest rates in the UK are going to stay at, or around, 0.5% for some considerable time weighed on sterling.

Denmark appear to be emerging as a competitor for UK wheat exports to Ireland and Spain although their crop is only around a third the size of ours.

The US market has been buoyed the last few sessions by a combination of talk of an El Nino weather threat in Australia, a delayed spring wheat harvest and short-covering by funds with heavy open commitments.