Danish milling wheat prices were stable this week and a surprise move by the European Commission on Thursday to offer intervention wheat was expected to keep prices steady, brokers said on Friday.
The EU's unexpected move to add sales of almost 700,000 tonnes of wheat to the current batch of weekly tenders for intervention barley and rye knocked wheat prices in France but had a limited effect on Danish prices.
"This move should indicate that prices will become more stable ahead, perhaps even causing a decline in barley prices," one trader said.
Danish milling wheat, fob February, sold at around 154 euros ($196.4) per tonne, unchanged from last week.
Demand for Danish malting barley was scant, traders said, and little activity was foreseen due to high prices.
Traders said strong demand for feed barley was driving up prices, hurting the malting-quality end of the market.
"No maltsters can afford to buy at these levels and the farmers often chose to sell malting barley as feed because they get nearly as much for it," a barley trader said.
High-quality Barke malting barley, fob February, was quoted at around 152 euros per tonne, down from last week with no trade reported.
Comments
Comments are closed.