Futures Close Report: 20th June 2017

Current warm weather conditions across northern hemisphere continue to support wheat prices; latest reports talk of crop damage across France and Southern Europe, although recent rain has brought relief to some more northerly areas – UK / Germany /Poland.

In China, the world’s top grain producer, hot and dry conditions in the main corn belt have delayed plantings and stunted crop development, especially in the province of Liaoning where soil moisture levels are at their lowest in at least five years.

Egypt announced the close of its local wheat harvest on Tuesday, having bought 3.4 million tonnes of wheat from farmers, just short of the government’s target of 3.5-4 million.  This will be supported by the usual high volume of imports required to sustain the national subsidised food program.