Wheat futures end the week higher. Currency remains key volatility driver. Brexit deadlines draw ever nearer. Zero import tariffs announced. Russian and Ukranian wheat lowest prices seen. US China deal remains focus. Soya market showing little change. Winter flooding in US. Hens get their revenge.
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Highs and lows as wheat is driven by currency, Brexit and Trump. Lower wheat crop yields, lower soya crops, China tariffs and weird ground drawings.
As the Brexit deal shapes up, Sterling strengthens and the prices of UK Wheat drops. Globally, wheat production is estimated to reduce this year, whilst soya planting increases and soya prices fall. And whilst Mongolia is remote... that does not mean it is clean and untouched.
Generally, UK wheat is in supply and demand balance and trading within a narrow price band. And what goes up must come down - Imagine how this poor Japanese lady felt when she stepped into this fake lift. No doubt relieved to be alive.
Early in the week a Bloomberg headline about Brexit negotiations grinding to a halt, sent Sterling tumbling by 0.5 cent in one minute, which set the tone for the rest of the week.... and GPS... its uses are endless!
We are all suffering from the US weather market, it is dry in parts, raining in parts but generally the rain is missing the dry spots!
In the past week, currency and UK wheat markets have moved sideways, with May wheat futures currently trading at about £147.50, within the very tight range that wheat has been trading since mid-January.