By FWi staff
CEREAL prices took a tumble today as the Pound gained ground against a host of European currencies.
Wheat and barley futures were both down as Sterling gained 1.5 pfennigs against the Deutschmark to DM2.965. Against the French Franc, the Pound was up by almost 50 centimes to FF9.94.
By midday today (Monday), LIFFE futures for wheat had lost as much as 60p to £76.25 (November), and £78.15 (January 99). Barley futures had lost 25p for all months to £74.00 (November) and £76.00 (January 99).
Analysts say cereal stocks still on-farm have met with a slump in domestic demand which has driven prices lower.
Wheat futures for all months have now lost more than £2 in the past week and the market outlook is less than favourable.