Written Commentary
London Wheat Report
US Market Reopening and Black Sea Developments Keep Wheat Markets in Focus
The US markets returned today after yesterday’s Labor Day holiday. Wheat was supported once again after the glimmer of hope of de-escalation at the tail end of last week seemed a distant memory.
Black Sea Shipping Security Remains a Key Geopolitical Market Factor
Russia rejected a proposed moratorium on attacks against ships carrying civilian goods in the Black Sea, which lent pessimism about any real breakthrough to end the conflict in the area. Ukrainian President Volodymyr Zelenskyy suggested that grains be included as a subject in new talks; however, that contrasted with Russia’s stance, with Foreign Minister Sergei Lavrov calling Ukraine’s proposal to halt attacks on ships carrying civilian goods “completely unrealistic” and impossible to monitor.
Iran Emerges as a Major Destination for Russian Grain Exports
According to consultancy Prozerna, of late Iran had become the largest buyer of Russian grains. In total, Russia shipped 913K of grains to the Iranians, which comprised nearly 500K T of Corn, 300K of Barley and 120K of wheat since the beginning of the latest agricultural season beginning Jul 1st.
Market Attention Turns to Upcoming September WASDE Report
No flash sales were announced by the USDA today. A reminder: we have a WASDE on the 11th of September.
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