ADMISI London Wheat Report for 18 April

London Wheat Report

LWR 2023-04-18

Source: FutureSource 

Vladdy was seen visiting two regions in Ukraine today as Russia presses ahead with assault on Bakhmut. US carries on its weapons sales to Taiwan. Elon Musk announces his intention to create a rival for Chat GTP.

Wheat prices started off the day continuing the support they found from yesterday with all the bickering and issues with Ukrainian grain entering eastern European countries. Chatter is also starting to come through that that some of the shipping insurers are getting a little angsty covering ships going to Ukrainian ports just in case the corridor does not get rolled over and they are marooned. Bet the Kremlin is absolutely loving this. Kyiv is back in contact with Poland to try and get the arrangement for transit corridors to continue after the excitement over the weekend. Russian wheat crop forecast for 2023 has been upped 1.5Mmt by SovEcon to 86.8Mmt due to improved weather conditions.

US winter wheat condition was rated at 27% GD/EX, -3% Y-O-Y. Chicago wheat was trading lower towards the end of the afternoon after starting supported. Matif continued being supported, helped by the announcement that vessel inspections in Istanbul would be suspended for the second day on a row. May-23 Matif wheat settled up €4.75 on yesterday at €260.75/t. London wheat had a pretty average day volume wise. May-23 was pushed higher on support from Matif, carrying on the push from yesterday over the £200/t barrier, hitting trading high of £203.70/t and settling up £1.70 on yesterday at £203.25/t .

Export licenses have cranked up again in Argentina after the re-introduction of the new soybean preferential exchange rate scheme, totalling 498,921t. Brazil’s soybean exports reached 7.5mm tin the second week of April, a 3.8Mmt advancement on previous week. Matif rapeseed found further support with May-23 settling up €16.50 on yesterday at €477/t.

Contact the ADMISI Grains and Oilseeds Derivatives Brokerage team

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Risk Warning: Investments in Equities, Contracts for Difference (CFDs) in any instrument, Futures, Options, Derivatives and Foreign Exchange can fluctuate in value. Investors should therefore be aware that they may not realise the initial amount invested and may incur additional liabilities. These investments may be subject to above average financial risk of loss. Investors should consider their financial circumstances, investment experience and if it is appropriate to invest. If necessary, seek independent financial advice.

ADM Investor Services International Limited, registered in England No. 2547805, is authorised and regulated by the Financial Conduct Authority [FRN 148474] and is a member of the London Stock Exchange. Registered office: 3rd Floor, The Minster Building, 21 Mincing Lane, London EC3R 7AG.                  

A subsidiary of Archer Daniels Midland Company.

© 2021 ADM Investor Services International Limited.

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