UK wheat firmer before Christmas lull – HGCA
- UK delivered wheat markets slightly firmer
UK delivered feed wheat prices were 50p-1 higher on the week. UK physical markets were reported generally quiet ahead of Christmas, with only small volumes trading.
LIFFE old-crop wheat ended unchanged to 20p higher, while new-crop futures fell between 25-50p/t.
Wheat futures volumes slipped to mid-November levels of around 250,000 tonnes, around a third of which was new-crop.
Barley prices remain strong, but regionally focused on port demand at a 5 premium to wheat.
- New-crop prices closer to world values
November 2001 LIFFE wheat futures, at the equivalent of US$109, are at a $6 discount to US wheat futures.
This discount has narrowed from $20 at the beginning of November. UK prices have risen 5, while US have fallen $4.
- Supply and demand revisions – wheat use up in feed sector
Higher wheat use in the animal feed sector was the main feature of the December revisions to the MAFF 2000/2001 cereal supply and demand estimates.
Annual forecast usage was revised up by 140,000 tonnes to 6.3 million tonnes. Commercial end-season stock forecasts were reduced to 1.7m tonnes as a consequence.
1 = 60.74p, 1 = 1.646 on 18 December
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Taken from HGCA weekly MI Bulletin To contact the HGCA phone 020 7520 3972 Click here to visit the Home-Grown Cereals Authority |
