Written Commentary
London Wheat Report
Storm Agnes is forecast to bring strong winds and heavy rain to much of the UK. A few games in the EFL cup tonight, the mighty hammers travel to Lincoln in the pick of the ties. Russia’s defence ministry has released a video showing the Black Sea Fleet’s commander at a conference, despite Ukraine claiming to have killed him. Russia is seeking to re-join the United Nations Human Rights Council in an election that will be seen as a key test of its international standing.
Poland’s agriculture minister said on Wednesday talks with Ukraine were on track as the two countries try to resolve a dispute about a ban imposed by Warsaw on Polish grain imports. Warsaw and Kyiv are allies, but relations have soured since Poland, Hungary and Slovakia decided to extend a ban that was introduced to protect farmers from a surge in grain and food imports from Ukraine after Russia’s invasion last year.
China has raised the minimum purchase price for third-grade wheat produced in 2024 to 2,360 yuan ($323) per metric ton, according to the state planner on Wednesday. The National Development and Reform Commission had previously set the 2023 minimum purchase price at 2,340 yuan per ton.
Grains producers in Brazil, Paraguay and Argentina published on Tuesday a manifest criticizing the European Union’s anti-deforestation rules which, according to them, will disrupt grains trade across the globe. Several months ago, the European Union passed rules banning the purchase of products linked with deforestation after December 2020, a move seen as “protectionism” by the South American food producers.
Much of the same on the London Market today, nothing fresh to give the market anything new so it continued in its downward uninspiring trend. Seems there is no delivered market out there as no sellers. However, in the Eastern counties, delivered wheat is £4 under futures price for those who can get it! Volume today was average with just over 350 crossing the line on screen across the curve.
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Risk Warning: Investments in Equities, Contracts for Difference (CFDs) in any instrument, Futures, Options, Derivatives and Foreign Exchange can fluctuate in value. Investors should therefore be aware that they may not realise the initial amount invested and may incur additional liabilities. These investments may be subject to above average financial risk of loss. Investors should consider their financial circumstances, investment experience and if it is appropriate to invest. If necessary, seek independent financial advice.
ADM Investor Services International Limited, registered in England No. 2547805, is authorised and regulated by the Financial Conduct Authority [FRN 148474] and is a member of the London Stock Exchange. Registered office: 3rd Floor, The Minster Building, 21 Mincing Lane, London EC3R 7AG.
A subsidiary of Archer Daniels Midland Company.
© 2024 ADM Investor Services International Limited.
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