Ukrainian physical wheat market has actually moved into a new marketing season

The Ukrainian physical market has already effectively entered a new marketing season. Over the week, food wheat lost $4, and feed wheat – $9, reflecting the appearance of the first volumes of the new harvest and the gradual completion of trade in old grain.

This was reported by SPIKE BROKERS.

Over the first 25 days of June, wheat exports reached 1.31 million tons, the main buyers remain Algeria, Indonesia, Italy and Turkey. The market is entering a period of seasonal increase in supply, while the activity of importers and traders will determine the speed of formation of a new price balance.

The world wheat market ended the week under the influence of the start of the harvest in the Northern Hemisphere. After a short growth due to weather risks in France, stock quotes lost support when traders’ attention switched to high harvest expectations in Ukraine, Romania and Russia. Additional pressure is created by the active entry of new grain into the export market of the Black Sea region.

In Europe, the harvest is only gaining momentum. In France, harvesting has already started, but the yield in the western regions is estimated to be below average due to hot weather. Despite this, global competition in the export market remains high, and Russian and Ukrainian FOB offers continue to set price benchmarks for buyers from North Africa and the Middle East.

• CBOT September: 589’6 c/bu (-24.4 c/bu)
• Euronext September: 202.75€ (+1.5€)
• SPIKE CPT Odesa 11.5pro: 213$ (-4$)
• SPIKE CPT Odesa feed: 203$ (-9$)
• Ukrainian exports 01-25.06: 1.31 million tons
• Main export destinations: Algeria, Indonesia, Italy and Turkey.

Tags: wheat, Ukraine, prices