The 2015 world wheat area is forecast to be the largest for 17 years, led mainly by an expected increase in the US crop area.
The International Grains Council made the forecast as 2014 wheat prices steadied slightly, having lost ground on Monday (29 September). The London feed wheat futures market closed at £108.70/t for November 2014 and £121.65/t for November 2015.
According to analyst ODA, wet weather in North America was slowing down an already late harvest and investors were buying back contracts.
The US and EU maize harvests are progressing well, both seeing good yields. However with many EU stores more than usually full of wheat, maize supply was in turn hanging over the market, said Nidera’s weekly grain report.
The next potential market moving news will be a release from the US Department of Agriculture detailing grain stocks at 1 September. US wheat stocks are expected to be slightly up on a year ago while its maize stocks are expected by the to be about 30.1m tonnes – about 10m tonnes more than those at the same time last year.