Grain markets have rebounded over the week, supported by global weather concerns and short covering. As Farmers Weekly went to press, spot feed wheat was worth £115/t ex-farm, with new crop wheat improving to about £125/t for November.
However, with the market mainly trading in rumours and expectations rather than fact, future trends could go either way, said HGCA analyst Arthur Marshall. “Warm and dry weather in parts of the US, while continuing to cause some fears for winter wheat, are expected to support maize and soya bean planting pace.
“But with a long way to go until harvest 2015, new crop news can drive volatility without necessarily having an impact on new crop prospects.” With new crop prices looking stronger than old crop markets, UK farmers and co-operative stores could choose to carry feed wheat into the new marketing year, he added.
Oilseed rape prices had also improved over the past week, but were likely to come under pressure in April/May as the South American soya crop reached the market, said senior analyst Amandeep Kaur Purewal. Following that, the focus would shift to US soya plantings. “The USDA plantings report, released on 31 March, will provide further clarity.”