Rapeseed and wheat sink as Euronext re-opens after the Christmas holidays.
By ODA UK | Published at
After being closed for two and a half days, Euronext re-opened today.
Wheat prices fell on the European market following Wednesday's moves in Chicago and also feeling the impact of a rebound by the euro-dollar exchange rate. At the same time, U.S. wheat prices were tumbling slightly again as the European session ended with the Russian government's upward revision of its wheat production estimate to 72MT versus 70MT as of two weeks ago.
Morocco announced that customs duties for wheat imports would remain at zero until the end of April 2019. Initially, the country announced it planned to implement a 30% import tax starting 1 January 2019. This is positive news for countries that export wheat to Morocco.
In maize, Euronext held up well. It finished the session near equilibrium despite wheat's decline and gains by the euro-dollar exchange rate.
On the oilseeds market, after slumping on Wednesday, soya prices were near equilibrium as the European session closed and much-needed rain fell across somewhat dry regions in Brazil and Argentina combined with fears about China's limited return to the U.S. soya market.
In terms of oils, prices saw slight gains in the wake of crude, which ticked upward yesterday after Monday's sharp decline against a backdrop of uncertainties about the U.S. economy and an excess global supply of crude.
Rapeseed finished the day lower following its Canadian counterpart and given the rebound in the euro-dollar exchange rate.