- Location
- UK
Cereals
Oilseeds
Chart of the Day #2: Managed money CBOT wheat
Futures & Options prices
- Support for EU and UK wheat prices continues in 2018 as they follow those of CBOT higher on cold weather in the US.
- A lack of snow cover in the Black Sea, considerably less than this time last year (see chart) is leaving developing crops exposed to a forecast cold snap in coming weeks which is causing further prices support.
- The market will pay close attention to Russian yield prospects this season given its increasing significance to world wheat supplies.
- The CME has agreed to allow block trades on its agricultural markets for the first time today, where contracts are negotiated away from the exchange before being cleared by the exchange.
- Funds continue to buy wheat and corn positions last week although extended short positions across grains and oilseeds overall.
Oilseeds
- Palm oil prices supported by rising demand from Asia.
- Concerns remain over the development of soybeans in Argentina due to dry conditions.
- Rapeseed followed soybeans lower having rallied so far in 2018 recovering some of the steep losses seen in Q3’17.
Chart of the Day #2: Managed money CBOT wheat
Futures & Options prices