Written Commentary
London Wheat Report
With Chicago wheat now back as a guiding light, one could have assumed that prices would have followed their usual pattern; however, London appeared somewhat directionless as the day progressed. All traded contracts ended the day in the red once again, following Matif wheat further down into fresh contract lows. After a small reprieve in the afternoon, Chicago wheat looked to end the day as it started, heavily in the red, not helped by a strengthening dollar.
News from the China/Russia meeting regarding grains: it has been reported that Russia’s bid to gain access to China’s wheat market has once again stalled. Owing to Beijing’s reluctance to authorise imports of Russian winter wheat, the two countries are yet to formalise any grain trade plan, even after reports of a strengthening in the energy trade flows between the countries.
News from Ukraine as the country nears completion of its 2025 wheat harvest. It has reportedly increased wheat exports to 1.89 mmt in August and may ship abroad at least 1.7 mmt in September. This news comes as Russia yesterday reported a fall in export prices amid weakening global demand.
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