Euronext Declines Slightly despite Support from the Euro
By ODA UK | Published at
Wheat prices in Chicago dipped slightly even though some traders are starting to worry about the weather in Russia where a temperature drop is forecast. After wavering throughout the session, European wheat finished down slightly despite a decline in the euro-dollar exchange rate.
In terms of international trade, activity is picking up. According to a new estimate, Algeria bought approximately 550KT of wheat (versus the 390KT announced initially) on Friday. In addition, Morocco is seeking U.S. wheat under preferential import tariffs, and Iraq launched a call to tender for 180KT of feed barley after buying 100KT of wheat.
On the oilseeds market, palm oil prices were supported by a strong export outlook for Malaysian palm coupled with production that is expected to be lower. However, the U.S. soya complex was under pressure today despite export sales of more than 250KT of soybeans. U.S. soybean oil fell more than 1%, taking Canadian canola in its wake. Pressure on Euronext rapeseed from the North American market was limited by the euro's decline against the dollar.