After gains earlier this week due to the possible thawing of relations between the US and China, grain prices slipped back. They haven’t hit the contract lows of the previous week but are not far off them.
Trump has described his meeting with Chinese President Xi as ‘amazing’ but no deal has been agreed. What pushed prices south was the lack of movement with the dollar following the US Federal Reserve decision to cut US interest rates by 25 basis points.
The latest AHDB Grain Market Report shows UK feed wheat futures (Nov-25) at £161.45/t, the May-26 contract holding on to some of those gains at £177.95/t.
Currency isn’t the only thing that is occupying traders’ minds. Reports from both Argentina and Australia of large grain supplies will add further market pressure.
Rapeseed outlook
Paris rapeseed futures (May-26) also benefitted from the news of US-China trade talks, climbing to €479.00/t.
It’s being reported that China will order US new crop soya beans, with 180 Kt booked for December and January shipment (LSEG).
