Written Commentary
London Wheat Report
London wheat ended up on the day after a steady start this morning. All traded contracts finished the day in the green despite stronger currencies prevailing. Volumes across the exchange were still muted, mirroring the physical market, where reports state sellers are still unwilling to engage at these levels. Matif wheat looked very similar to London wheat today, with all but one of the traded contracts ending the day higher than yesterday’s close. As with London, volumes across the exchange were lower than have been seen previously.
New from across the pond, the Chicago wheat contract moved higher amid thin news, though beneficial rains in the U.S. Plains have stood to put a damper on prices. The USDA stated net U.S. wheat export sales for the week ended February 5 totalled 501,900 metric tonnes for the 2025/2026 marketing year, which was on the higher end of trade estimates. The US soybeans contract climbed after the South China Morning Post reported that China and the U.S. are in talks about U.S. President Donald Trump’s visit to China in April and that the trade truce is expected to be extended to one year.
Further south, Brazilian crop agency Conab stated today that frequent rains in central and northern regions have disrupted the removal of soybeans from fields, adding that this has not yet had a significant impact on quality and output prospects. Other analysts played down the impact of the rain, given a sizeable expected harvest.
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